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The regression model

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A simple linear regression equation, Y=a be, estimated a computer program, produced output:

Dependent Variable:S R- Square F-Ratio P-Value On F
Observations: 25 0.7482 68.351 0.0001

Variable Parameter Standard
Estimate Error T-Ratio P-Value

Intercept 325.24 125.09 2.60 0.0160
X 0.80057 0.2898 2.78 0.0106

1. How many degrees of freedom does this regression analysis have?
2. What is the critical value of t at the 5% level of significance?
3. Test to see if the estimates of a and b are statistically significant.
4. How much of the total variation in Y is explained by this regression equation? How much of the total variation in Y is unexplained by this regression equation?
5. If X equals 100, what value do you expect Y will take? If X equals 0?

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Solution Summary

The regression model is provided. The expert estimates a computer program to produce an output.

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Answers
1. Given number of observations = 25. Hence total degrees of freedom = 24
2. The t statistic for the regression coefficient follows students t distribution with 23 d.f ...

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