Hypothesis Testing Step 1: State the Null and Research Hypothesis. Step 2: Level of Significance Step 3: Compute the test statistic: Step 4: Compare the Critical Value: Step 5: Decision:

Variables Entered/Removed? Variables Model Variables Entered Removed Method 1 Level of Education . Enter a. Dependent Variable: Income b. All requested variables entered. Model Summary Std. Error Change Statistics R Adjusted R of the R Square F Model R Square Square Estimate Change Change _ df1 df2 1 .629 .396 .362 $15,574.00 396 11.779 1 18 5 ANOVA? Sum of Model Squares df Mean Square F Sig. Regression 2857006147.48 1 2857006147.48 11.779 003b 0 0 Residual 4365893581.47 18 242549643.415 0 Total 7222899728.95 19 0 a. Dependent Variable: Income b. Predictors: (Constant), Level_of_Education Coefficients Unstandardized Standardized Coefficients Coefficients Correlations Zero- Model B Std. Error Beta t Sig. order Partial 1 (Constant) 29638.525 12045.197 2.46 024 Level of Educ 16152.826 4706.448 629 3.43 003 629 .629 ation 2Regression Descriptive Statistics Std. Mean Deviation N Income $69,212.95 $19,497.503 20 Level_of Educatio 2.45 759 20 n Correlations Level_of Edu Income cation Pearson Income 1.000 629 Correlation Level_of Educatio 629 1.000 n Sig. (1-tailed) Income 001 Level_of Education 001 n N Income 20 20 Level of Educatio 20 20 n