Question 1

SCENARIO 13-7  
-Referring to Scenario 13-7, which of the following will be a correct conclusion?

Accepted Answer

A)  You cannot reject the null hypothesis and, therefore, conclude that there is sufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively
Related. 
B)  You can reject the null hypothesis and, therefore, conclude that there is sufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively
Related. 
C)  You cannot reject the null hypothesis and, therefore, conclude that there is insufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively
Related. 
D)  You can reject the null hypothesis and conclude that there is insufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively related. 
A)  You cannot reject the null hypothesis and, therefore, conclude that there is sufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively
Related. 
B)  You can reject the null hypothesis and, therefore, conclude that there is sufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively
Related. 
C)  You cannot reject the null hypothesis and, therefore, conclude that there is insufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively
Related. 
D)  You can reject the null hypothesis and conclude that there is insufficient evidence to show that the prisons stock portfolio and S&P 500 index are negatively related.

Question 2

SCENARIO 13-11
A computer software developer would like to use the number of downloads (in thousands)for the trial
version of his new shareware to predict the amount of revenue (in thousands of dollars)he can make
on the full version of the new shareware.Following is the output from a simple linear regression
along with the residual plot and normal probability plot obtained from a data set of 30 different
sharewares that he has developed:     
Simple Linear Regression 13-43  
-True or False: Referring to Scenario 13-11, the null hypothesis for testing whether there is a
linear relationship between revenue and the number of downloads is "There is no linear
relationship between revenue and the number of downloads".

Accepted Answer

A) True 
 B)False

Question 3

The strength of the linear relationship between two numerical variables may be measured by
The

Accepted Answer

A)  scatter plot. 
B)  coefficient of correlation. 
C)  slope. 
D)  Y-intercept. 
A)  scatter plot. 
B)  coefficient of correlation. 
C)  slope. 
D)  Y-intercept.

Question 4

SCENARIO 13-4   
Simple Linear Regression 13-13
-Referring to Scenario 13-4, the managers of the brokerage firm wanted to test the hypothesis that
the population slope was equal to 0.At a level of significance of 0.01, the null hypothesis should
be _______ (rejected or not rejected).

Accepted Answer

The answer of SCENARIO 13-4   
Simple Linear Regression...

Question 5

SCENARIO 13-11
A computer software developer would like to use the number of downloads (in thousands)for the trial
version of his new shareware to predict the amount of revenue (in thousands of dollars)he can make
on the full version of the new shareware.Following is the output from a simple linear regression
along with the residual plot and normal probability plot obtained from a data set of 30 different
sharewares that he has developed:     
Simple Linear Regression 13-43  
-Referring to Scenario 13-11, what is the standard error of estimate?

Accepted Answer

The answer of SCENARIO 13-11
A computer software developer would like...

Question 6

SCENARIO 13-11
A computer software developer would like to use the number of downloads (in thousands)for the trial
version of his new shareware to predict the amount of revenue (in thousands of dollars)he can make
on the full version of the new shareware.Following is the output from a simple linear regression
along with the residual plot and normal probability plot obtained from a data set of 30 different
sharewares that he has developed:     
Simple Linear Regression 13-43  
-Referring to Scenario 13-11, predict the revenue when the number of downloads is 30
thousands.

Accepted Answer

The answer of SCENARIO 13-11
A computer software developer would like...

Question 7

SCENARIO 13-2  
-Referring to Scenario 13-2, what is the percentage of the total variation in candy bar sales
Explained by the regression model?

Accepted Answer

A)  100% 
B)  88.54% 
C)  78.39% 
D)  48.19% 
A)  100% 
B)  88.54% 
C)  78.39% 
D)  48.19%

Question 8

Based on the residual plot below, you will conclude that there might be a violation of which of
The following assumptions.

Accepted Answer

A)  Linearity of the relationship 
B)  Normality of errors 
C)  Homoscedasticity 
D)  Independence of errors 
A)  Linearity of the relationship 
B)  Normality of errors 
C)  Homoscedasticity 
D)  Independence of errors

Question 9

The Y-intercept (b0)represents the

Accepted Answer

A)  estimated average Y when X = 0. 
B)  change in estimated average Y per unit change in X. 
C)  predicted value of Y. 
D)  variation around the sample regression line. 
A)  estimated average Y when X = 0. 
B)  change in estimated average Y per unit change in X. 
C)  predicted value of Y. 
D)  variation around the sample regression line.

Question 10

In performing a regression analysis involving two numerical variables, you are assuming

Accepted Answer

A)  the variances of X and Y are equal. 
B)  the variation around the line of regression is the same for each X value. 
C)  that X and Y are independent. 
D)  All of the above. 
A)  the variances of X and Y are equal. 
B)  the variation around the line of regression is the same for each X value. 
C)  that X and Y are independent. 
D)  All of the above.

Question 11

SCENARIO 13-4   
Simple Linear Regression 13-13
-Referring to Scenario 13-4, the managers of the brokerage firm wanted to test the hypothesis that
the number of new clients brought in had a positive impact on the amount of sales generated.For
a test with a level of significance of 0.01, the null hypothesis should be rejected if the value of the
test statistic is ________.

Accepted Answer

The answer of SCENARIO 13-4   
Simple Linear Regression...

Question 12

SCENARIO 13-3
The director of cooperative education at a state college wants to examine the effect of cooperative
education job experience on marketability in the work place.She takes a random sample of 4
students.For these 4, she finds out how many times each had a cooperative education job and how
many job offers they received upon graduation.These data are presented in the table below.  
-Referring to Scenario 13-3, the director of cooperative education wanted to test the hypothesis
that the population slope was equal to 3.0.For a test with a level of significance of 0.05, the null
hypothesis should be rejected if the value of the test statistic is ________.

Accepted Answer

> 4.3027 o

Question 13

SCENARIO 13-2  
-Referring to Scenario 13-2, what is the estimated slope for the candy bar price and sales data?

Accepted Answer

A)  161.386 
B)  0.784 
C)  - 3.810 
D)  - 48.193 
A)  161.386 
B)  0.784 
C)  - 3.810 
D)  - 48.193

Question 14

SCENARIO 13-8  
-Referring to Scenario 13-8, the interpretation of the coefficient of determination in this
Regression is

Accepted Answer

A)  57.74% of the total variation of ACT scores can be explained by GPA. 
B)  ACT scores account for 57.74% of the total fluctuation in GPA. 
C)  GPA accounts for 57.74% of the variability of ACT scores. 
D)  None of the above. 
A)  57.74% of the total variation of ACT scores can be explained by GPA. 
B)  ACT scores account for 57.74% of the total fluctuation in GPA. 
C)  GPA accounts for 57.74% of the variability of ACT scores. 
D)  None of the above.

Question 15

True or False: When r = - 1, it indicates a perfect relationship between X and Y.

Accepted Answer

A) True 
 B)False

Question 16

SCENARIO 13-2  
-Referring to Scenario 13-2, what is the estimated mean change in the sales of the candy bar if
Price goes up by $1.00?

Accepted Answer

A)  161.386 
B)  0.784 
C)  - 3.810 
D)  - 48.193 
A)  161.386 
B)  0.784 
C)  - 3.810 
D)  - 48.193

Question 17

SCENARIO 13-2  
-Referring to Scenario 13-2, if the price of the candy bar is set at $2, the predicted sales will be

Accepted Answer

A)  30 
B)  65 
C)  90 
D)  100 
A)  30 
B)  65 
C)  90 
D)  100

Question 18

SCENARIO 13-5
The managing partner of an advertising agency believes that his company's sales are related to the
industry sales.He uses Microsoft Excel to analyze the last 4 years of quarterly data with
the following results:   Durbin-Watson Statistic 1.59
-If the Durbin-Watson statistic has a value close to 0, which assumption is violated?

Accepted Answer

A)  Normality of the errors. 
B)  Independence of errors. 
C)  Homoscedasticity. 
D)  None of the above. 
A)  Normality of the errors. 
B)  Independence of errors. 
C)  Homoscedasticity. 
D)  None of the above.

Question 19

SCENARIO 13-11
A computer software developer would like to use the number of downloads (in thousands)for the trial
version of his new shareware to predict the amount of revenue (in thousands of dollars)he can make
on the full version of the new shareware.Following is the output from a simple linear regression
along with the residual plot and normal probability plot obtained from a data set of 30 different
sharewares that he has developed:     
Simple Linear Regression 13-43  
-Referring to Scenario 13-11, which of the following is the correct null hypothesis for testing
Whether there is a linear relationship between revenue and the number of downloads?

Accepted Answer

Question 20

SCENARIO 13-9  
-Referring to Scenario 13-9, the estimated change in mean salary (in thousands of dollars)as a
Result of spending an extra hour per day studying is

Accepted Answer

A) -1.8940 
B) 0.7845 
C) 0.9795 
D) 335.0473 
A) -1.8940 
B) 0.7845 
C) 0.9795 
D) 335.0473

SCENARIO 13-7 -Referring to Scenario 13-7, which of the following will be a correct conclusion?

The strength of the linear relationship between two numerical variables may be measured by The

SCENARIO 13-4 Simple Linear Regression 13-13 -Referring to Scenario 13-4, the managers of the brokerage firm wanted to test the hypothesis that the population slope was equal to 0.At a level of significance of 0.01, the null hypothesis should be _______ (rejected or not rejected).

SCENARIO 13-2 -Referring to Scenario 13-2, what is the percentage of the total variation in candy bar sales Explained by the regression model?

Based on the residual plot below, you will conclude that there might be a violation of which of The following assumptions.

The Y-intercept (b0)represents the

In performing a regression analysis involving two numerical variables, you are assuming

SCENARIO 13-2 -Referring to Scenario 13-2, what is the estimated slope for the candy bar price and sales data?

SCENARIO 13-8 -Referring to Scenario 13-8, the interpretation of the coefficient of determination in this Regression is

True or False: When r = - 1, it indicates a perfect relationship between X and Y.

SCENARIO 13-2 -Referring to Scenario 13-2, what is the estimated mean change in the sales of the candy bar if Price goes up by $1.00?

SCENARIO 13-2 -Referring to Scenario 13-2, if the price of the candy bar is set at $2, the predicted sales will be

SCENARIO 13-9 -Referring to Scenario 13-9, the estimated change in mean salary (in thousands of dollars)as a Result of spending an extra hour per day studying is

Defining and Collecting Data

Organizing and Visualizing

Numerical Descriptive Measures

Basic Probability

Discrete Probability Distributions

Conthe Tinuonormausl Disdis Tributionstribution and Other

Sampling Distributions

Confidence Interval Estimation

Fundamentals of Hypothesis Testing: One-Sample Tests

Two-Sample Tests

Analysis of Variance

Chi-Square and Nonparametric

Introduction to Multiple

Multiple Regression

Time-Series Forecasting

Business Analytics

A Roadmap for Analyzing Data

Statistical Applications in Quality Management

Decision Making

Filters

Exam 13: Simple Linear Regression

SCENARIO 13-7 -Referring to Scenario 13-7, which of the following will be a correct conclusion?

The strength of the linear relationship between two numerical variables may be measured by The

SCENARIO 13-4 Simple Linear Regression 13-13 -Referring to Scenario 13-4, the managers of the brokerage firm wanted to test the hypothesis that the population slope was equal to 0.At a level of significance of 0.01, the null hypothesis should be _______ (rejected or not rejected).

SCENARIO 13-2 -Referring to Scenario 13-2, what is the percentage of the total variation in candy bar sales Explained by the regression model?

Based on the residual plot below, you will conclude that there might be a violation of which of The following assumptions.

The Y-intercept (b0)represents the

In performing a regression analysis involving two numerical variables, you are assuming

SCENARIO 13-2 -Referring to Scenario 13-2, what is the estimated slope for the candy bar price and sales data?

SCENARIO 13-8 -Referring to Scenario 13-8, the interpretation of the coefficient of determination in this Regression is

True or False: When r = - 1, it indicates a perfect relationship between X and Y.

SCENARIO 13-2 -Referring to Scenario 13-2, what is the estimated mean change in the sales of the candy bar if Price goes up by $1.00?

SCENARIO 13-2 -Referring to Scenario 13-2, if the price of the candy bar is set at $2, the predicted sales will be

SCENARIO 13-9 -Referring to Scenario 13-9, the estimated change in mean salary (in thousands of dollars)as a Result of spending an extra hour per day studying is

Defining and Collecting Data

Organizing and Visualizing

Numerical Descriptive Measures

Basic Probability

Discrete Probability Distributions

Conthe Tinuonormausl Disdis Tributionstribution and Other

Sampling Distributions

Confidence Interval Estimation

Fundamentals of Hypothesis Testing: One-Sample Tests

Two-Sample Tests

Analysis of Variance

Chi-Square and Nonparametric

Introduction to Multiple

Multiple Regression

Time-Series Forecasting

Business Analytics

A Roadmap for Analyzing Data

Statistical Applications in Quality Management

Decision Making

Filters