The Transactional Records Access Clearinghouse at Syracuse University reported data showing the odds of an Internal Revenue Service audit. The following table shows the average adjusted gross income reported (in dollars) and the percent of the returns that were audited for 20 selected IRS districts. Adjusted Gross Income ($) Percent Audited District Los Angeles 36,664 1.3 Sacramento 38,845 1.1 Atlanta 34,886 1.1 Boise 32,512 1.1 Dallas 34,531 1.0 Providence 35,995 1.0 San Jose 37,799 0.9 Cheyenne 33,876 0.9 Fargo 30,513 0.9 New Orleans 30,174 0.9 Oklahoma City 30,060 0.8 Houston 37,153 0.8 Portland 34,918 0.7 Phoenix 33,291 0.7 Augusta 31,504 0.7 Albuquerque 29,199 0.6 Greensboro 33,072 0.6 Columbia 30,859 0.5 Nashville 32,566 0.5 Buffalo 34,296 0.5 (a) Develop the estimated regression equation that could be used to predict the percent audited given the average adjusted gross income reported (in dollars). (Round your value for the y-intercept to three decimal places and your value for the slope to six decimal places.) (b) At the 0.05 level of significance, determine whether the adjusted gross income (in dollars) and the percent audited are related. (Use the F test.) State the null and alternative hypotheses. O Hạ: B0 time left O Ho: B, 20 2:41:15 O Ho: B0 H = 0 O Hoi Bo =0 O Hai Bq = 0 Find the value of the test statistic. (Round your answer to two decimal places.) Find the p-value. (Round your answer to three decimal places.) p-value = State your conclusion. O Do not reject Hg. We conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. O Do not reject Hg. We cannot conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. O Reject Hg. We conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. O Reject Hg. We cannot conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. (c) Did the estimated regression equation provide a good fit? Explain. (Round your answer to three decimal places.) Since =[ is -Select v, the estimated regression equation -Select- - va good fit. (d) Use the estimated regression equation developed in part (a) to calculate a 95% confidence interval for the expected percent audited for districts with an average adjusted gross income of $34,000. (Round your answers to two decimal places.) % to

The Transactional Records Access Clearinghouse at Syracuse University reported data showing the odds of an Internal Revenue Service audit. The following table shows the average adjusted gross income reported (in dollars) and the percent of the returns that were audited for 20 selected IRS districts. Adjusted Gross Income ($) Percent Audited District Los Angeles 36,664 1.3 Sacramento 38,845 1.1 Atlanta 34,886 1.1 Boise 32,512 1.1 Dallas 34,531 1.0 Providence 35,995 1.0 San Jose 37,799 0.9 Cheyenne 33,876 0.9 Fargo 30,513 0.9 New Orleans 30,174 0.9 Oklahoma City 30,060 0.8 Houston 37,153 0.8 Portland 34,918 0.7 Phoenix 33,291 0.7 Augusta 31,504 0.7 Albuquerque 29,199 0.6 Greensboro 33,072 0.6 Columbia 30,859 0.5 Nashville 32,566 0.5 Buffalo 34,296 0.5 (a) Develop the estimated regression equation that could be used to predict the percent audited given the average adjusted gross income reported (in dollars). (Round your value for the y-intercept to three decimal places and your value for the slope to six decimal places.) (b) At the 0.05 level of significance, determine whether the adjusted gross income (in dollars) and the percent audited are related. (Use the F test.) State the null and alternative hypotheses. O Hạ: B0 time left O Ho: B, 20 2:41:15 O Ho: B0 H = 0 O Hoi Bo =0 O Hai Bq = 0 Find the value of the test statistic. (Round your answer to two decimal places.) Find the p-value. (Round your answer to three decimal places.) p-value = State your conclusion. O Do not reject Hg. We conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. O Do not reject Hg. We cannot conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. O Reject Hg. We conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. O Reject Hg. We cannot conclude that the relationship between the adjusted gross income (in dollars) and the percent audited is significant. (c) Did the estimated regression equation provide a good fit? Explain. (Round your answer to three decimal places.) Since =[ is -Select v, the estimated regression equation -Select- - va good fit. (d) Use the estimated regression equation developed in part (a) to calculate a 95% confidence interval for the expected percent audited for districts with an average adjusted gross income of $34,000. (Round your answers to two decimal places.) % to

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018

18th Edition

ISBN:9780079039897

Author:Carter

Publisher:Carter

Chapter10: Statistics

Section10.2: Representing Data

Problem 22PFA

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