A major car magazine has recently collected data on 30 leading cars in the U.S. market. It is interested in building a multiple regression model to explain the variation in highway miles.
The following correlation matrix has been computed from the data collected:
mileage,
highway mileage, city Curb Weight cylinders Horsepower
mileage, highway 1
mileage, city 0.857550598 1
Curb Weight -0.739110566 -0.70765104 1
cylinders -0.694837149 -0.866135056 0.596475711 1
Horsepower -0.549172956 -0.684199197 0.293202385 0.840347219 1
Based on this information, if we test using a 0.05 level of significance, the critical value for testing whether any of the independent variables are significantly correlated with the dependent variable is t = 2.0484.
Indicate whether the statement is true or false
Question 2
The adjusted R2 value can be larger or smaller that the R2 values depending on the data set.
Indicate whether the statement is true or false
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