Answer:
Kindly check explanation
Step-by-step explanation:
Given the following :
Regression
Statistics
R Square 0.01104
Standard Error 4.02545
Observations 27
Stat - - - - Coef - - Std Error - - t-Stat - - P-value
Int. - - 88.4902 - 1.67814 - - 52.731 - - 0.0000
Price (–0.00239) - 0.00453 (–0.528) - - 0.6019
Stat - - - - lower 95% - - - upper 95%
Int. - - - - - 85.0340 - - - - - - 91.9464
Price - - (–0.01172) - - - - - - 0.00693
(A) No, At α = .05, the Coefficient of price is not significantly different from zero, because :
The p-value (0.6019) obtained is greater than 0.05, Hence we fail to reject the null hypothesis.
B) the correlation Coefficient (r) :
Since ; r^2 = 0.01104
r = √0.01104
r = 0.1050714
The p-value obtained at α = .05 for r value of 0.1051 using the online p-value calculator is .602, this shows that correlation does not differ from 0.
Using :
r(√n-2) / √1 - r^2
0.1051(√27-2) / √1 - 0.01104
0.5255 / 0.9944646
= 0.5284250
For a 2 tailed test: α = .025
t0. 025 = 2.060 and - 2.060
Obtained t value is less than the critical, hence the null hypothesis stands
