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State the null hypothesis to be tested

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In 1999, Chief Executive studied CEO pay in a variety of industries to investigate commonly held beliefs that a CEO's pay increases as company sales increase, and also as company performance increases. The study looked at CEO pay (in thousands), company sales (in millions) and overall company performance (measured as a three-year annualized total return to shareholders).

1. Accurately state the null hypothesis (Ho) to be tested in this business problem. Accurately state the research hypothesis (H1) to be considered as an alternative to the null hypothesis in this business problem.

2.  Explain why multiple regression would be the most appropriate data analysis technique in this case. In other words, what is it about the research question, or the data, or the variables, that makes multiple regression "fit" this situation?

Reference no: EM132485113

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