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Newburg Park, Florida is a popular, beach resort town. Property values are fairly high there and, as such, are rather well studied. One topic of

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Newburg Park, Florida is a popular, beach resort town. Property values are fairly high there and, as such, are rather well studied. One topic of study has been the relationship between housing prices and distance from the beach. For a recent sample of 15 houses sold in Newburg Park in the past year, the least-squares regression equation relating the variables house price (denoted by x, in thousands of dollars) and distance from the beach (denoted by y, in miles) was y =297.19 - 5.47x. The standard error of the slope of the least-squares regression line was approximately 2.42. Based on this information, test for a significant linear relationship between the two variables by doing a hypothesis test regarding the population slope B. (Assume that the variable y follows a normal distribution for each value of x and that the other regression assumptions are satisfied.) Use the 0.10 level of significance, and perform a two-tailed test. Then complete the parts below. (If necessary, consult a list of formulas.) (a) State the null hypothesis H and the alternative hypothesis H. B P Ho : I X H : I 0=0 OSO (b) Determine the type of test statistic to use. (Choose one) 020 0*0 0

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