Define the independent and dependent variables. What can you say about the correlation between them?

Applied Management Statistics Task brief & rubrics

Task: Final assignment

This is an individual task. You are asked to answer all the questions in the proposed case.

All students must submit their own file in the midterm assignment evaluation submission point.

You can upload an Excel File, but make sure that it’s clearly indicated what the figures correspond to. Also make sure that the steps are clearly indicated.

Task

A regression analysis has been conducted between the annual income (in 1000 euros) and the work experience (in years) of people with 0.05 significance level. The results are summarized below.

Summary

Table 1.

Regression Statistics

Multiple R

0,96

R Square

0,92

Adjusted R Square

0,82

Standard Error

2,11

Observations

Table 2.

Significance F

Regression

107,603

24,276

0,008

Residual

17,730

4,432

Total

125,333

Table 3.

Coefficients

Standard Error

t stat

p value

Lower 95%

Upper 95%

Intercept

14,84

3,160

5,491

0,005

8,577

26,124

Variable X 1

2,05

0,276

4,927

0,008

0,595

2,130

Ex. 1. Define the independent and dependent variables. What can you say about the correlation between them? (10 points)

Ex. 2. Interpret R Square. (15 points)

Ex. 3. State the hypotheses tested (15 points)

Ex. 4. Test whether the independent variable have a significant effect on the dependent variable with 0.05 significance level? Write your conclusion.

(25 points)

Ex. 5. Write the regression model and interpret the coefficients. (20 points)

Ex. 6. Estimate the average annual income of a person who has 15 years of work experience. (15 points)

Submission: Week 7 – Due on Friday 11th September 2022, 23:59 CEST, Via Moodle

Weight: This task is a 60% of your total grade for this subject, as indicated in the course outline

Submission file format: Excel File with all the answers, clearly identifying all steps & results, and including comments for each step

Formalities:

· Font: Arial 12 pts.

· Text alignment: Justified.

· The in-text References and the Bibliography, if any, have to be in Harvard’s citation style.

This task assesses the following learning outcomes:

· Design and explain statistical models, perform analysis and solve real-world problems.

· Understand concepts, formulas, and techniques of statistics through applied examples.

· Understand statistical language and develop statistical thinking.

· Interpret results of statistical analysis.