Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Submitted to –
Submitted by:
Group 1
Section: 15
Name ID
Samman Rahman 1721906630
Md Ahad Hossain Monve 1521424631
1|Page
BUS173 - Project (ZKH3)
Summer 2019
Submission deadline: 28 August 2019
The goal of the project is to examine the effect of education, gender, work experience and minority
classification on the beginning salary of the employees in a company. Different data sets are given
to different groups (individual) of students.
2|Page
TABLE OF CONTENTS
Introduction:.................................................................................................................................... 4
Regression equation:....................................................................................................................... 5
The estimated regression coefficients (slope) values: .................................................................... 5
The values of the coefficient of multiple determination are given in SPSS solution: .................... 6
The predicted beginning salary for the employee non-white male, and has 17 years of education
and 10 years of work experience: ................................................................................................... 6
95% confidence level for regression coefficient are:...................................................................... 7
Discussion and conclusion:............................................................................................................. 8
Appendix:...................................................................................................................................... 10
3|Page
Introduction:
The goal of this project is to examine the effect of education, gender, work experience and minority
classification on the beginning salary of the employees in a company. A random sample of 200
students has been taken to conduct the research.
Here,
The 4 independent variables are education level, gender, work experience and minority
classification. The dependent variable is the beginning salary of an employee.
Let,
X1 = Education level
X2 = Gender
X3 = Work experience
X4 = Minority classification
4|Page
Regression equation:
Estimated regression equation:
When we estimate the regression model using SPSS software, we obtain the value of a = -1464.389
5|Page
The values of the coefficient of multiple determination are given in SPSS
solution:
From output of SPSS,
Interpretation:
The value of Se = 2441.081 tells us that the average difference of the sample mean from the
population mean.
The value of R2 = 42.6% state that 42.6% of total variation in beginning salary is explained by
education, gender and minority classification, work experience. And 57.4% variation depends on
other factors.
The predicted beginning salary for the employee non-white male, and has 17
years of education and 10 years of work experience:
Here,
X1 = 17 years
X2 = 0 (Male)
X3 = 10 years
X4 = 1 (Non White)
So, we can predict that the beginning salary for an employee who is non-white, male, has 17 years
of education and 10 years working experience is roughly $8,940.079.
6|Page
95% confidence level for regression coefficient are:
Determine the 95% confidence intervals for the regression coefficients
Alpha(𝛼) is .05
SB₁ = 68.023
N= 200
508.61 to 734.44
We can state that for 95% confidence interval the beginning salary varies from 508.61 to 734.44
= -1816.61 to -533.33
7|Page
We can state that for 95% confidence interval beginning salary varies from 1816.61 to -533.33 for
different gender.
Here b₃ is 61.709
= 25.13 to 98.28
We can state that for 95% confidence interval the beginning salary varies from 25.13 to 98.28
depending on work experience.
Here b4 is -778.530
= -1514.76 to -42.29
We can state that for 95% confidence interval the beginning salary is very from -1514.76 to -42.29
for minority classification.
The p-value for each term tests the null hypothesis that the coefficient is equal to zero (no effect).
A low p-value (< 0.05) indicates that we can reject the null hypothesis. In other words, a predictor
8|Page
that has a low p-value is likely to be a meaningful addition to our model because changes in the
predictor's value are related to changes in the response variable.
From the Output of SPSS, we can see that the predictor variables of education, work experience
and gender of employees are significant because both of their P-values are 0.000. Minority
Classification has a P-value of .161 which makes it a relatively less significant factor.
Significant factors:
Education:
Null Hypothesis, H0: B1 = 0 (Coefficient of education is equal to zero)
Education (p-value = 0.000) is highly significant factor for determining beginning salary of the
employee at assuming 1% significance level.(P-value<∝ so we reject the null hypothesis)
Gender of employees:
Null Hypothesis, H0: B2 = 0 (Coefficient of gender of employees is equal to zero)
Gender of employee (p-value = 0.000) is highly significant factor for determining beginning salary
of the employee at assuming 1% significance level. (P-value < ∝ so we reject the null hypothesis)
Work experience:
Work experience of employees (p-value = 0.000) is highly significant factor for determining
beginning salary of the employee at assuming 1% significance level. (P-value < ∝ so we reject the
null hypothesis)
Minority classification:
Minority Classification (p-value = .161) is not a significant factor for determining beginning salary
of the employee at assuming 1% significant level as the P-value > ∝, so we accept the null
hypothesis.
Therefore, we can conclude that, education, gender of employees, work experience can highly
affect the beginning salary of the employees in a company. On the other hand, minority
classification does not effect on the beginning salary on an employee by much.
9|Page
Appendix:
Regression
[DataSet2] C:\Users\Didar\Desktop\group1.sav
Variables Entered/Removeda
Variables Variables
MINORIT
1 Y . Enter
CLASSIFICAT
ION, SEX OF
EMPLOYEE,
WORK
EXPERIENCE
EDUCATION
AL LEVELb
Model Summary
10 | P a g e
ANOVAa
Sum of
Coefficientsa
Standardized
CLASSIFICATION
11 | P a g e
Means
[DataSet2] C:\Users\Didar\Desktop\group1.sav
Cases
SEX OF EMPLOYEE
Report
BEGINNING SALARY
FEMALES 5371.59 87
12 | P a g e