Thomas and Thomas, a large plumbing company in Louisville, - 6537

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 Thomas and Thomas, a large plumbing company in Louisville, has a huge staff of plumbers that are utilized on contractual projects. Before a plumber is hired, an aptitude test must be taken and passed. After a plumber is hired they are evaluated on their performance. Each plumber receives a job performance score based on their individual production. The production manager wants to determine if there is a relationship between the performance score and the aptitude test score. Additionally, the manager wanted to investigate the influence that being a union member has on performance (coded as 1 union member and 0 nonmembers). An analysis of 20 plumbers was conducted. The resulting equation was Performance = 28.1 + 4.85 Aptitude + 20.5 Union. What is your interpretation of this analysis?

A.   These variables are not a good predictor of performance.

B.   Being a union member increases the typical performance by 20.5.

C.   The aptitude test is not a significant variable in this equation and needs to be eliminated as a variable.

D.   The company would be wise to discourage union membership.

Solution Description

Thomas and Thomas, a large plumbing company in Louisville, has a huge staff of plumbers that are utilized on contractual projects. Before a plumber is hired, an aptitude test must be taken and passed. After a plumber is hired they are evaluated on their performance. Each p