A house seller has been told that, other factors being equal, a house that is older (than another house) should be less valuable (due to normal wear and tear). At 1% level does the regression provide convincing evidence to refute this theory? What is the prob-value for the test?
The house is 1800 square foot, 1 story, 1.5 bath mansion, built 6 years earlier and not walking distancce from the church. For 40 observations regression data is:
Rsquare = .88180
Standard Error = 14.32339
n-k-1 df = 34
Age coef = 1.15516, Age Stand Error = .55264