QUESTION 3

ANSWER ALL PARTS OF THIS QUESTION

A. A college admissions officer developed the following estimated regression equation relating the final college performance GPA to the students SAT mathematics score and secondary education level GPA.

^y  = -1.41 + 0.0235x1 + 0.00486x2

where X1 = secondary education level GPA

X2 = SAT mathematics score

Y = final college performance GPA

i. Calculate the missing outputs and compute F and test using α = 0.05 to see whether a significant relationship is present.

ii. Did the estimated regression equation provide a good fit to the data? Explain.

iii. Use the t test and α = 0.05 to test H0: β1 = 0 and H0: β2 = 0.

iv. Interpret the coefficients in this estimated regression equation.

B. Using the following data:

Y Variable X Variable

25                     2

25                     3

20                     5

30                     1

16                     8

i. Estimate the regression model

ii. Predict the value of Y when X = 10