For the data set shown below complete parts a through d belo

For the data set shown below, complete parts (a) through (d) below. (a) Find the estimates of beta 0 and beta 1 (b) Compute the standard error, the point estimate for sigma. (c) Assuming the residuals are normally distributed, determine Sb1. (d) Assuming the residuals are normally distributed, test H0: beta 1 = 0 versus H1: beta 1 not equal to 0 at the alpha = 0.05 level of significance. Use the P-value approach. The P-value for this test is Make a statement regarding the null hypothesis and draw a conclusion for this test. Choose the correct answer below. A. Do not reject H0. There is sufficient evidence at the alpha = 0.05 level of significance to conclude that a linear relation exists between x and y. B. Reject H0. There is not sufficient evidence at the alpha = 0.05 level of significance to conclude that a linear relation exists between x and y. C. Do not reject H0. There is not sufficient evidence at the alpha = 0.05 level of significance to conclude that a linear relation exists between x and y. D. Reject H0. There is sufficient evidence at the alpha = 0.05 level of significance to conclude that a linear relation exists between x and y.

Solution

(a) bo=-0.744

b1=1.767

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(b) Se=0.5972

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(c)Sb1=0.1440

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(d) the p-value= 0.001

C

Regression output				confidence interval
variables	coefficients	std. error	t (df=3)	p-value	95% lower	95% upper
Intercept	-0.7442	0.8221	-0.905	.4321	-3.3605	1.8721
x	1.7674	0.1440	12.275	.0012	1.3092	2.2257