solution

The data in the fi le Used Honda Civics come from a sample of used Honda Civics
listed for sale online in July 2006. The variables recorded are the car’s age
(calculated as 2006 minus year of manufacture) and price. Consider conducting
an analysis to test whether the sample data provide strong evidence of an
association between a car’s price and age in the population in terms of the
population slope.

a. Describe the population slope in the context of the study
and assign a symbol to it.

 b. State the appropriate null and alternative hypotheses in
terms of the population slope using the symbol used in part (a).

 c. Is a theory-based test appropriate? Why or why not?

 d. Use a theory-based approach to find a p-value to test
the hypotheses stated in part (b).

e. Summarize your conclusion based on the p-value reported
in part (d).