MATH 534 Week 7 Homework Problems

1. Question:Arealestateanalysthasdevelopedamultipleregressionline,y=60+0.068x1–2.5x2,topredicty=themarketpriceofahome(in $1,000s),usingindependentvariables,x1=thetotalnumberofsquare feetoflivingspace,andx2=theageofthehouseinyears.The regressioncoefficientofx2suggeststhis: _____. 2. Question:Thefollowingisapartialcomputeroutputofamultipleregressionanalysis of a data set containing 20 sets of observations on thedependentvariable. Theregressionequationis SALEPRIC=1470+0.8145LANDVAL+0.8204IMPROVAL+13.529AREA WhatisthepredictionvaluewhenLANDVAL=25,IMPROVAL=36andAREA=56? 3. Question:Acostaccountantisdevelopingaregressionmodeltopredictthetotal cost of producing a batch of printed circuit boards as a linearfunctionofbatchsize (the numberof boardsproducedinonelotorbatch), production plant (Kingsland, and Yorktown), and productionshift(day,andevening).Theresponsevariableinthismodelis_____. 4. Question:Acostaccountantisdevelopingaregressionmodeltopredictthetotal cost of producing a batch of printed circuit boards as a linearfunctionofbatchsize (thenumberofboardsproducedin onelotorbatch), production plant (Kingsland, and Yorktown), and productionshift(day,andevening).Inthismodel,"batchsize"is . 5. Question:Topredictthevalueofthedependentvariableofourinterest(y)forthe given,specificvalues of theindependentvariables (thex-variables)usingamultipleregressionmodel,wesubstitutethevaluesofthex-variablesintothemultipleregressionequationandsolveforthevalue of y.The resulting value ofy is . 6. Question:Supposethattheregressionequationy=16.99+0.32x1+0.41x2 +5.31x3predictsanadult’sheight(y)giventheindividual’smother’sheight(x1),hisorherfather’sheight(x2),andwhethertheindividualismale(x3=1)orfemale(x3=0).Allheightsaremeasuredininches.Assumealsothatthisequationisstablethroughtime,theaverageadultfemaleheightiscurrently63.8inchesandtheaverageadultmaleheightis69.7inches.Approximatelywhatwouldbetheaveragefemaleheightintwogenerations?Youcanassumethateachindividualhas parents ofaverageheight. 67.25inches 7. Question:Amarketanalystisdevelopingaregressionmodeltopredictmonthlyhouseholdexpendituresongroceriesasafunctionoffamilysize,householdincome,andhouseholdneighborhood(urban,suburban,andrural).The"neighborhood"variableinthismodelis . 8. Question:Thefollowingisapartialcomputeroutputofamultipleregressionanalysis of a data set containing 20 sets of observations on thedependentvariable…..Theregressionequationis SALEPRIC=1470+0.814LANDVAL+0.820IMPROVAL+13.5AREA 9. Question:Intestingtheoverallsignificanceofamultipleregressionmodel,thenullhypothesisthateachonetheβ-coefficientsofthex-variablesinthemodelisequaltozero,istestedagainstthealternativehypothesisthat . 10. Question:Inregressionanalysis,outliersmaybeidentifiedbyexaminingthe .