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SCENARIO 18-2
One of the Most Common Questions of Prospective β\beta

Question 210

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SCENARIO 18-2
One of the most common questions of prospective house buyers pertains to the cost of heating in dollars (Y) . To provide its customers with information on that matter, a large real estate firm used the following 4 variables to predict heating costs: the daily minimum outside temperature in degrees of Fahrenheit ( X1 ) , the amount of insulation in inches ( X 2 ) , the number of windows in the house ( X3 ) , and the age of the furnace in years ( X 4 ) . Given below are the EXCEL outputs of two regression models.
 SCENARIO 18-2 One of the most common questions of prospective house buyers pertains to the cost of heating in dollars (Y) . To provide its customers with information on that matter, a large real estate firm used the following 4 variables to predict heating costs: the daily minimum outside temperature in degrees of Fahrenheit ( X<sub>1</sub> ) , the amount of insulation in inches ( X <sub>2</sub> ) , the number of windows in the house ( X<sub>3</sub> ) , and the age of the furnace in years ( X <sub>4</sub> ) . Given below are the EXCEL outputs of two regression models.     -Referring to Scenario 18-2,what are the degrees of freedom of the partial F test for H<sub>0 </sub>:  \beta <sub>3 </sub>= \beta <sub>4 </sub>= 0 vs.H<sub>1 </sub>: At least one  \beta j </sub> \neq  0,j = 3,4 ? A) 2 numerator degrees of freedom and 15 denominator degrees of freedom B) 15 numerator degrees of freedom and 2 denominator degrees of freedom C) 2 numerator degrees of freedom and 17 denominator degrees of freedom D) 17 numerator degrees of freedom and 2 denominator degrees of freedom
 SCENARIO 18-2 One of the most common questions of prospective house buyers pertains to the cost of heating in dollars (Y) . To provide its customers with information on that matter, a large real estate firm used the following 4 variables to predict heating costs: the daily minimum outside temperature in degrees of Fahrenheit ( X<sub>1</sub> ) , the amount of insulation in inches ( X <sub>2</sub> ) , the number of windows in the house ( X<sub>3</sub> ) , and the age of the furnace in years ( X <sub>4</sub> ) . Given below are the EXCEL outputs of two regression models.     -Referring to Scenario 18-2,what are the degrees of freedom of the partial F test for H<sub>0 </sub>:  \beta <sub>3 </sub>= \beta <sub>4 </sub>= 0 vs.H<sub>1 </sub>: At least one  \beta j </sub> \neq  0,j = 3,4 ? A) 2 numerator degrees of freedom and 15 denominator degrees of freedom B) 15 numerator degrees of freedom and 2 denominator degrees of freedom C) 2 numerator degrees of freedom and 17 denominator degrees of freedom D) 17 numerator degrees of freedom and 2 denominator degrees of freedom
-Referring to Scenario 18-2,what are the degrees of freedom of the partial F test for H0 : β\beta 3 = β\beta 4 = 0 vs.H1 : At least one β\beta j \neq 0,j = 3,4 ?


A) 2 numerator degrees of freedom and 15 denominator degrees of freedom
B) 15 numerator degrees of freedom and 2 denominator degrees of freedom
C) 2 numerator degrees of freedom and 17 denominator degrees of freedom
D) 17 numerator degrees of freedom and 2 denominator degrees of freedom

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