Question: If null hypothesis is tested that RAM variable has no effect on Price of Mac Book, t-statistic is 5.37 and associated probability of 0.000. Question

If null hypothesis is tested that RAM variable has no effect on Price of Mac Book, t-statistic is 5.37 and associated probability of 0.000.

Question 13 options:

RAM is required element of any Mac Book.

We should accept null hypothesis that RAM has no effect on Price at probability of 0.05 level.

We should reject null hypothesis that RAM has no effect on Price at probability of 0.05 level.

It difficult to decide. There is not enough details given.

Question 14 (1 point)

Coefficient of Screen variable is -696.393. That means,

Question 14 options:

Mac Book should have Screen size of 696 centimeters of Screen

Mac Book with 13 inches of Screen would be expected to be $696.393 cheaper than 14 inches Screen size.

It is not possible to conclude anything.

All Mac Books have same Screen size.

Question 15 (1 point)

If null hypothesis is tested that Screen variable has no effect on Price of Mac Book, t-statistic is -3.82 and associated probability of 0.001.

Question 15 options:

t-statistic can not be negative.

We should reject null hypothesis that Screen has no effect on Price at probability of 0.05 level.

We should accept null hypothesis that Screen has no effect on Price at probability of 0.05 level.

You cannot have Mac Book without Screen.

Question 16 (1 point)

Coefficient of Intel variable is -428.314. That means,

Question 16 options:

Intel is financially weak compared to Apple

Intel based Mac Books are poor quality.

You cannot have negative coefficient in regression analysis

Negative coefficient indicate Mac Book with Intel based CPU are generally discounted by $428.314

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