The local electric company wants to determine the relationship between electricity consumption and the thermostat settings of customer water heaters. They collected data on the total electric consumption (in kilowatts) and the water heater thermostat settings (in degrees Fahrenheit) for 100 customers and they ran a regression on these data. Refer to the output from this regression (shown below) to answer the following:

l) What is the regression equation?

m) Interpret the coefficients of the regression equation.

n) What is the coefficient of correlation and what does it tell you?

o) What is the coefficient of determination and what does it tell you?

p) Say you want to run a test to determine if the slope of the regression line is truly different from 0. Specify

The test. What is the p-value for this test? Would you reject the null hypothesis at? = .01?

q) What does the P-value in the row for ?Intercept? refer to and what does it tell you?

SUMMARY OUTPUT

Regression Statistics

Multiple R 0.345078397

R Square 0.1190791

Adjusted R Square 0.110090111

Standard Error 369.3236756

Observations 100

ANOVA Regression Residual Total Intercept Water df SS 1 1806920.328 98 99 MS 1806920.33 13367197.78 136399.977 15174118.11 Coefficients Standard Error 6197.614218 F Significance F 0.000438018 t Stat P-value Lower 95% Upper 95% 554.0884379 11.1852437 3.3126E-19 5098.043767 7297.18467 14.98299168 4.116576452 3.63967288 0.00043802 6.813779837 23.1522035