In order to predict with 98% confidence the expected value of y for a given value of x in a simple linear regression problem, a random sample of 15 observations is taken. Which of the following t-table values listed below would be used?
A) 1.350
B) 1.771
C) 2.160
D) 2.650
E) 1.750

Question

Quizplus · Accepted Answer

To predict with 98% confidence, we need to find the t-value with 0.01 significance level and degrees of freedom (df) of n-2 = 13. Looking at the t-table, we find that the closest value to 0.01 for df=13 is 2.650.

In Order to Predict with 98% Confidence the Expected Value