Below is a regression using X = home price (000), Y = annual taxes (000), n = 20 homes.
(a) Write the fitted regression equation.
(b) Write the formula for each t statistic and verify the t statistics shown below.
(c) State the degrees of freedom for the t tests and find the two-tail critical value for t by using Appendix D.
(d) Use Excel's function = T.DIST.2T (t, d.f.) to verify the p-value shown for each t statistic (slope, intercept).
(e) Verify that F = t2 for the slope.
(f) In your own words, describe the t of this regression.

Transcribed Image Text:

R2 Std. Erro 0.454 0.452 12 ANOVA table Source Regression df 1.6941 2.0578 3.7519 MS 1.6941 0.2058 8.23 0167 Residual Total Regression output variables coefficients std.error t(df-10) malue Intercept 18064 0.611 confidence interval 95% lower 95% upper 0144 04438 0.0039 0.0014 2.869 0167 0.0009 3.1691 0.0070 Slope