Exhibit 18-6
It is believed that the median yearly income in a suburb of Atlanta is $70,000. A sample
of 67 residents was taken. Thirty-eight had yearly incomes above $70,000, 26 had
yearly incomes below $70,000, and 3 had yearly incomes equal to $70,000. The null
hypothesis to be tested is H0: median = $70,000.
Refer to Exhibit 18-6. The test statistic has a value of
a. 1.00
b. 1.50
c. 2.00
d. 2.50
The mathematical equation that explains how the dependent variable y is related to
several independent variables x1, x2, …, xp and the error term is
a. a simple nonlinear regression model
b. a multiple regression model
c. an estimated multiple regression equation
d. a multiple regression equation