Question: In a simple linear regression analysis attempting to link the earnings per share ratio (x) for a stock to its share price (y), the following

In a simple linear regression analysis attempting to link the earnings per share ratio (x) for a stock to its share price (y), the following ANOVA table was produced.

a. Use an F test to decide whether sample results are sufficient to reject a β = 0null hypothesis at the 1% significance level.

b. Conduct the appropriate t test.

ANOVA df SS MS F Significance F Regression Error (Residual) Total 1 149.834 25 272.906 26 422.741

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a MSR 1498341 149834 MSE 27290625 10916 F stat MSRMSE 14983410916 13726 Critical value version From ... View full answer

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