A group of researchers from the university wants to determine if there is a relationship between the clerical employees' salary raises and the personnel evaluations that were made to those employees during the previous year. Consequently, the group considers the linear regression model as follows:
ŷ = β0 + β1x
Using the method of least squares, the faculty group obtained the following predicting equation:
ŷ = 28560 + 1232x
Interpret the estimated slope of the line.
Select one:
a) For an employee with an evaluation of 1.0, the model estimates his/her raise to be 1232.
b) For a 1-point increase in an employee's evaluation, the model estimates the employee's raise to increase by $1232.
c) For a 1-point increase in an employee's evaluation, the model estimates the employee's raise to decrease by $1232.
d) For a $1 increase in the employee's raise, we estimate the employee's evaluation to decrease by 1232 points.