Mike Wilde is president of the teachers’ union for Otsego School District. In preparing for upcoming negotiations, he is investigating the salary structure of classroom teachers in the district. He believes there are three factors that affect a teacher’s salary: years of experience, a teaching effectiveness rating given by the principal, and whether the teacher has a master’s degree. A random sample of 20 teachers resulted in the following data. Salary Years Rating Masters 31.1 8 35 0 33.6 5 43 0 29.3 2 51 1 43 15 60 1 38.6 11 73 0 45 14 80 1 42 9 76 0 36.8 7 54 1 48.6 22 55 1 31.7 3 90 1 25.7 1 30 0 30.6 5 44 0 51.8 23 84 1 46.7 17 76 0 38.4 12 68 1 33.6 14 25 0 41.8 8 90 1 30.7 4 62 0 32.8 2 80 1 42.8 8 72 0 GIVEN:   Subscriptions Web Page Hits Adv Price   Subscriptions 1         Web Page Hits 0.642979 1       Adv 0.709228 0.357179 1     Price 0.710019 0.253957 0.441123 1               ŷ = 19.915 + 0.899 x1 + 0.154 x2 + (0.667) x3 ŷ = 33.647 or $33,647

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Mike Wilde is president of the teachers’ union for Otsego School District. In preparing for upcoming negotiations, he is investigating the salary structure of classroom teachers in the district. He believes there are three factors that affect a teacher’s salary: years of experience, a teaching effectiveness rating given by the principal, and whether the teacher has a master’s degree. A random sample of 20 teachers resulted in the following data.

Salary Years Rating Masters
31.1 8 35 0
33.6 5 43 0
29.3 2 51 1
43 15 60 1
38.6 11 73 0
45 14 80 1
42 9 76 0
36.8 7 54 1
48.6 22 55 1
31.7 3 90 1
25.7 1 30 0
30.6 5 44 0
51.8 23 84 1
46.7 17 76 0
38.4 12 68 1
33.6 14 25 0
41.8 8 90 1
30.7 4 62 0
32.8 2 80 1
42.8 8 72 0

GIVEN:

  Subscriptions Web Page Hits Adv Price  
Subscriptions 1        
Web Page Hits 0.642979 1      
Adv 0.709228 0.357179 1    
Price 0.710019 0.253957 0.441123 1  
           
ŷ = 19.915 + 0.899 x1 + 0.154 x2 + (0.667) x3
ŷ = 33.647 or $33,647

 

FIND: the images below

d. Conduct a test of hypothesis for the individual regression coefficients. Would you consider deleting any of the independent
variables? Use the 0.05 significance level. (Negative amounts should be indicated by a minus sign. Round your answers to 3
decimal places.)
A regression coefficient is dropped if computed t is to the left of
or right of
Keep "
years
" and " rating
"; drop
master's
Transcribed Image Text:d. Conduct a test of hypothesis for the individual regression coefficients. Would you consider deleting any of the independent variables? Use the 0.05 significance level. (Negative amounts should be indicated by a minus sign. Round your answers to 3 decimal places.) A regression coefficient is dropped if computed t is to the left of or right of Keep " years " and " rating "; drop master's
e. If your conclusion in part (d) was to delete one or more independent variables, run the analysis again without those variables.
(Round your answers to 4 decimal places.)
Dropping "
master's
we have: Salary =
20.1157 +
0.8927 (years
) +
0.1464 ( rating
).
%3D
Transcribed Image Text:e. If your conclusion in part (d) was to delete one or more independent variables, run the analysis again without those variables. (Round your answers to 4 decimal places.) Dropping " master's we have: Salary = 20.1157 + 0.8927 (years ) + 0.1464 ( rating ). %3D
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