Regression analysis and 5-Step Hypothesis Test
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1. Perform a regression analysis and show the scatter plot of data with the regression line superimposed.
2. Discuss the import of the following statistics:
a. Correlation coefficient
b. Coefficient of determination
c. Slope and intercept of the regression equation
3. Create a 5-Step Hypothesis test.
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Solution Summary
This solution shows how to perform a regression analysis and a 5-step hypothesis test. The correlation coefficient and coefficient of determination are found.
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** Please see the attached Excel file for the regression analysis explanation **
** Please see the attached Word document for the hypothesis test explanation **
Step 1: Null hypotheses
Ho: = 0.0
H1: 0
Step 2: Assumptions
Howell describes the assumptions associated with testing the significance of correlation. These refer to normality and homogeneity of variance in the array of possible values of one variable at each value of the other variable. These assumptions are difficult to test. A close approximation is if the normality of both variables is approximately normal. Without evidence to the contrary we will assume these assumptions are ...
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