Final answer:
In this experiment, the term ui represents the individual error or deviation of each student's exam score from the regression line. The regression model assumes that on average, the deviation of the exam scores from the regression line is zero. The other assumptions of simple linear regression might or might not be satisfied. Based on the estimated model, the average scores for students given different times can be predicted, and the average predicted gain in score for an additional 10 minutes can be computed.
Step-by-step explanation:
(a) The term ui represents the individual error or deviation of the ith student's exam score from the regression line. Different students will have different values of ui because each student has their own unique abilities, preparation, and factors that can affect their exam performance.
(b) In this regression model, E(ui|X;) is equal to zero because it assumes that the average deviation of the exam score from the regression line is zero. This means that on average, the students' scores are predicted accurately by the regression model.
(c) The other assumptions among SLR.1-SLR.4 (Simple Linear Regression) may or may not be satisfied in this specific experiment setting. SLR.1 assumes a linear relationship between the dependent and independent variables, SLR.2 assumes independence of errors, SLR.3 assumes constant variance of errors, and SLR.4 assumes normality of errors. These assumptions need to be checked using statistical tests and diagnostic plots to draw any conclusions.
(d)
i. Based on the estimated model, the average score of students given 90 minutes would be 49 + 0.24(90) = 70.6. Similarly, for 120 minutes, the average score would be 49 + 0.24(120) = 76.8. For 150 minutes, the average score would be 49 + 0.24(150) = 82.6.
ii. To compute the average predicted gain in score for a student who is given an additional 10 minutes on the exam, we subtract the predicted score with 90 minutes from the predicted score with 100 minutes. This would be 49 + 0.24(100) - (49 + 0.24(90)) = 0.24.