Examp ole District Sales t Test for Significance of Individual Parameters ypothesIs H:B2=0 Ha:B≠0 Decision rule Fora=.05andd.f.=15-2-1=12,to25=2.179 Reject Ho if t>2.179 Test statistic 0.49600 0.00920 81.92 950 0.00605 S40.000968 Conclusions Reject Ho: B=0 Reject Ho: B2=0Slide 15 Example: District Sales • t Test for Significance of Individual Parameters – Hypothesis – Decision rule For  = .05 and d.f. = 15 – 2 – 1 = 12, t.025 = 2.179 Reject H0 if |t| > 2.179 – Test statistic – Conclusions Reject H0 : 1 = 0 Reject H0 : 2 = 0 : 0 0 : 0  = a i i H H   81.92 0.00605 0.49600 1 1 = = = b s b t 9.50 0.000968 0.00920 2 2 = = = b s b t