Answered step by step
Verified Expert Solution
Question
1 Approved Answer
A random sample of 20 individuals who graduated from college five years ago were asked to report the total amount of debt (in dollar) they
A random sample of 20 individuals who graduated from college five years ago were asked to report the total amount of debt (in dollar) they had when they graduated from college and the total value of their current investments (in dollar) resulting in the data set below. Assignment 10q1 data a) Develop a regression equation for predicting current investment based on college debt. What is the expected change in current investment for each additional dollar of college debt? Give your answer to four decimal places. b) When testing for a significant linear relationship in your regression analysis, what is the proper conclusion at the 0.1 level of significance? O There is a significant linear relationship between college debt and current investment because the P-value is greater than 0.1. We fail to reject the claim of no linear relationship between college debt and current investment because the P-value is less than 0.1. O There is a significant linear relationship between college debt and current investment because the P-value is less than 0.1. O We fail to reject the claim of no linear relationship between college debt and current investment because the P-value is greater than 0.1. c) What is the predicted current investment for an individual who had a college debt of $5000? Give your answer to two decimal places. d) What proportion of the variation in current investment is explained by college debt? Give your answer to four decimal places.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started