Sarah is the office manager for a group of financial advisors who provide financial services for individual clients. She would like to investigate whether a relationship exists between the number of presentations made to prospective clients in a month and the number of new clients per month. The following table shows the number of presentations and corresponding new clients for a random sample of six employees.
Sarah would like to use simple regression analysis to estimate the number of new clients per month based on the number of presentations made by the employee per month. Which one of the following statements describes the results of the hypothesis test that the population slope is not equal to zero using
α = 0.05?
▸ Because the absolute value of the test statistic is less than the absolute value of the critical value, we fail to reject the null hypothesis and cannot conclude that the population slope is not equal to zero.
▸ Because the absolute value of the test statistic is less than the absolute value of the critical value, we can reject the null hypothesis and conclude that the population slope is equal to zero.
▸ Because the absolute value of the test statistic is greater than the absolute value of the critical value, we can reject the null hypothesis and conclude that the population slope is not equal to zero.
▸ Because the absolute value of the test statistic is greater than the absolute value of the critical value, we fail to reject the null hypothesis and conclude that the population slope is equal to zero.
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