A regression of the price of a gallon of gasoline on the price of a barrel of crude oil yields the following results. For question 5 use $4.31 as the actual price of gasoline. For question 8 there are 552 degrees of freedom.

	coefficient	standard error	t-statistic
intercept	.46	.0187
price ofcrude	.032		84.08

1. Whichvariable isthedependentvariable?

2. How much would the price of a gallon of gasoline rise if the price of a barrel of crude oil rose by $10?

3. If the price of crude oil per barrel was $60, what would the estimate of the price of a gallon of gasoline based on the regression above be? Show your work.

4. The current price of a barrel of crude oil is about $103. What is the estimate of the price of a gallon of gasoline using the regression model above? Show your work.

5. Find the difference between the actual and estimated value from question 4 if the actual price of gas is $4.31.

6. Given the null hypothesis is that the intercept = 0, find the t-statistic for the intercept. Show your work.

7. Given the null hypothesis is that the slope = 0, find the standard error of the estimate of the coefficient on the price of a barrel of oil. Show your work.

8. Given the t-statistic for the coefficient for the price of a barrel of crude oil, and given the degrees of freedom are 552, is the p-value greater than or less than .05?

9. Given you answer for 8 is the null hypothesis that the coefficient is 0 rejected or does it fail to be rejected?

10. The sum of the squared residuals is 32.52, the total sum of squares is 448.94. What is the regression sum of squares?

11. Given your answer to 10 what is R-squared?