The human resource manager at Gamma, Inc. wants to examine the relationship between annual salaries (Y), the number of years employees have worked at Gamma, Inc. (X1) and whether the employee is male or female (X2). X2 = 0 if male and X2 = 1 iffemale.

They are also interested in whether the interaction between the two explanatory variables (X1 and X2) has a significant impact on salaries. These data have been collected for a sample of 28 employees and the regression output is shown here.

(A) Use the information shown to estimate the linear regression model.

(B) Write the regression equation in Part A as two separate equations; one for females and one for males, and interpret the results.

(C) Would any of the variables in the linear regression model in Part A be considered a dummy variable? Explain your answer.

(D) Identify and interpret the coefficient of determination for the model in Part A.

(E) Identify and interpret the standard error of estimate for the model in Part A.

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Summary measures

Multiple R0.8065

R-Square0.6504A

dj R-Square0.6067

StErr of Estimate6572.3

Regression coefficients

CoefficientStd Errt-valuep-value

Constant29831.683904.567.640

Years Employed869.04266.783.2580.0033

Gender-2396.544620.04-0.5190.6087

Years & Gender403.93350.381.1530.2603