Question: Organizational theorist Ken Brier has obtained data on the composition of nonprofit boards of directors in the metro Chicago area. Professor Brier hypothesizes that the

Organizational theorist Ken Brier has obtained data on the composition of nonprofit boards of directors in the metro Chicago area. Professor Brier hypothesizes that the higher the percentage of major donors present on a board, the lower an organization’s fund-raising expenses should be. Data are available for a sample of 77 nonprofits. The independent variable (DBOARD) is the percentage of board members per nonprofit identified as major donors to their respective organization; the dependent variable (FRAISE) is measured as the percentage of annual spending (out of total spending) devoted to fund-raising activities. Based on running a regression equation, what can Dr. Brier conclude?

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