The t-statistic for testing the null hypothesis H0: βi = 0 is t = (bi − 0) / σi, where βi is the population parameter for independent variable i, bi is the estimated coefficient, and σi is the coefficient standard error. Using the information provided, the estimated coefficient standard error can be computed as bIndex / t = σIndex = 1.1 / 2.1 = 0.5238.
(Study session 3, LOS 12.b)
