Answer
$t_0\gt t_{\frac{α}{2}}$: null hypothesis is rejected.
There is enough evidence to conclude that a linear relation exists between square footage and rent.
Work Step by Step
$H_0: β_1=0$ versus $H_1: β\ne0$
$t_0=\frac{b_1}{s_{b_1}}=\frac{2.531}{0.2166}=11.685$
$n=11$, so:
$d.f.=n-2=9$
$t_{\frac{α}{2}}=t_{0.025}=2.262$
(According to Table VI, for d.f. = 9 and area in right tail = 0.025)
Since $t_0\gt t_{\frac{α}{2}}$, we reject the null hypothesis.
