You believe that the price of Zoom Videoconferencing stock and the price of American Airlines stock will move in opposite directions. In order to test this relationship, we do a simple regression with the following variables:A - dependent variable : month end price of American Airlines stockZ - independent variable: month end price of Zoom Videoconferencing stock Data from April 2019 through December 2020 (21 observations) is availableBased on the data, we compute the following:Var (Z) = 20927.702Cov (A,Z) = -899.153E(A) = 20.790E(Z) = 187.530Std Error of Estimate = 6.088TSS = 1476.830Consider the equation At = b0 + b1 Zt + εtBased on the numbers given above, complete the following tableVariableEstimateStd errort-statisticSlope b1 .00941 Constant b0 2.2088 R-square N/AN/AF statistic N/AN/A Are the coefficients (slope and/or constant) significant at the .05 level?

Compute the estimate of the slope parameter using the formula: b^1=CovA, ZVarZ b^1=-899.15320927.702 =-0.04296Compute the estimate of the intercept parameter using the formula: b^0=EA-b^1EZ b^0=20.790--0.04296187.530 =20.790+8.05718 =28.84718The square root of the mean squared error is used to calculate the standard error estimate, which is a standard deviation of the errors. Compute the mean squared error by taking the square of the standard error of the estimate. MSE=6.0882 =37.06374 Compute the sum of squared error by substituting n=21 in the formula: SSE=MSE n-2 SSE=37.06374 21-2 =37.06374 19 =704.21114 Compute the coefficient of determination using the formula: R2=1-SSETSS R2=1-704.211141476.830 =1-0.47684 =0.52316Compute the sum of squares for regression using the formula: SSR=TSS-SSE SSR=1476.830-704.21114 =772.61886 For simple linear regression, SSR=MSR. Compute the F statistic using the formula: F=MSRMSE F=772.6188637.06374 =20.84568Compute the t-statistic corresponding to the slope parameter using the formula: t=b^1s.eb^1 t=-0.042960.00941 =-4.56586 Compute the t-statistic corresponding to the intercept parameter using the formula: t=b^0s.eb^0 t=28.847182.2088 =13.06011b) Compute the degrees of freedom using the formula: df=n-2 df=21-2 =19 By using the t-distribution table, the critical values for the 19 degrees of freedom and at the 0.05 level of significance are, -2.093 and 2.093. Since the t-statistic corresponding to the slope parameter -4.56586 is less than -2.093; therefore, the null hypothesis gets rejected. Hence, at the 5% level of significance, there is sufficient evidence to conclude that the slope parameter is significant. Since the t-statistic corresponding to the intercept parameter 13.06011 is greater than 2.093; therefore, the null hypothesis gets rejected. Hence, at the 5% level of significance, there is sufficient evidence to conclude that the intercept parameter is significant.