- A Group Of Employees At Oliver Consulting Company Occ A Financial Consulting Firm Have Filed A Complaint With The Hu 1 (41.29 KiB) Viewed 31 times
A group of employees at Oliver Consulting
Company (OCC), a financial consulting firm, have filed a complaint with the human resources department about salary at the
company. A random sample of 25 employees was taken to investigate the relationship between an employee's salary and four explanatory variables, as described below. Salary employee's annual salary (thousands of dollars), Male = 1 if employee is male, 0 otherwise, Experience = number of years employment at the
company, Over50-1 if employee is over 50 years old, 0 otherwise, and MBA= 1 if employee has an MBA degree, 0 otherwise a. Use Excel to estimate the following model Salary-b+b, Male +b, Experience +b, Over 50+ b MBA Write the results in equation form and carefully interpret each of the estimated slope coefficients. That is, what do the estimated coefficients measure? b. What percentage of variations in salary is explained by this model? c. Are the estimated coefficients statistically significant? Use the p-value approach and a 10% level of significance to carry out the tests. Clearly state your decision with a
statement. d. Use the estimated equation to predict the salary of a 40- year-old male employee with an MBA degree, and 10 years of experience. e. Use the estimated equation to predict the salary of a 55- year-old male employee, with an MBA degree, and 10 years of experience. f. Does the study provide statistical evidence of age discrimination? Explain. g. Does the study provide statistical evidence of gender discrimination? Explain. Oberaber sprer MA 4 5 . 2 * A . 16 m 14 12 13 14 7 15 16 AT 18 19 54 N T # 28 133] 4 703 C 36 . 77.5 19 451 ST 343 T . PAES BUT 1220 38 BE [4x] G WEA = 34 16.3 H TEE 14 20 BA 21 40.2 IN = 41 11.A 24 25 12 m MA 19 F [493] 19 www 328 • ED . . • e 6 D • 0 • . 19 79. 19 • . 30.2 12 • •