1)      The following estimated regression model was developed relating yearly income (Y in $1,000s) of 30 individuals with their age (X1) and their gender (X2) (0 if male and 1 if female).

Yˆ=30+0.7X1+3X2

Also provided are SST = 1,200 and SSE = 384.

The yearly income of a 24-year-old male individual is?

2)      A regression model between sales (Y in $1,000), unit price (X1 in dollars) and television advertisement (X2 in dollars) resulted in the following function:

Yˆ=7−3X1+5X2

For this model SSR = 3500, SSE = 1500, and the sample size is 18.

The coefficient of the unit price indicates that if the unit price is

a) increased by $1 (holding advertising constant), sales are expected to increase by $4,000

b) increased by $1 (holding advertising constant), sales are expected to increase by $3

C) increased by $1 (holding advertising constant), sales are expected to decrease by $3,000

d) decreased by $1 (holding advertising constant), sales are expected to decrease by $3

3)      .

4)      For a multiple regression model, SST = 200 and SSE = 50. The multiple coefficient of determination is

5)      A regression model involved 5 independent variables and 136 observations. The critical value of t for testing the significance of each of the independent variable’s coefficients will have

a) 4 degrees of freedom

b) 121 degrees of freedom

c) 135 degrees of freedom

d) 130 degrees of freedom
Below you are given a partial computer output based on a sample of 25 observations.
Coefficient Standard Error
Constant 145 29
X1 20 5 
X2 -18 6
X3 4 4

We want to test whether the parameter b2 is significant. The test statistic equals?