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Consider the following multiple regression Price = 118.5 + 0.405BDR + 23.7 Bath + 0.196Hsize + 0.004Lsize + 0.118Age - 47.1Poor, R = 0.75, SER
Consider the following multiple regression Price = 118.5 + 0.405BDR + 23.7 Bath + 0.196Hsize + 0.004Lsize + 0.118Age - 47.1Poor, R" = 0.75, SER = 40.3 (24.7) (2.59) (8.69) (0.012) (0.00057) (0.381) (10.4) The numbers in parentheses below each estimated coefficient are the estimated standard errors. A detailed description of the variables used in the data set is available here i Suppose you wanted to test the hypothesis that BDR equals zero. That is, Ho: BDR = 0 vs H1: BDR # 0 Report the t-statistic for this test. The t-statistic is (Round your response to three decimal places)Variable Definitions Variable Definition BDR Number of bedrooms. Bath Number of bathrooms. Hsize Size of the house in square feet Lsize Size of the lot in square feet Age Age of the house in years. Poor Binary variable (1 if the condition of the house is reported as "poor", o otherwise) Is the coefficient on BDR statistically different from zero at the 5% significance level? O A. Yes. B. No. Typically five-bedroom houses sell for much more than two-bedroom houses. Is this consistent with your previous answer and with the regression more generally? A. Yes. OB. No
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