Mathematics, 10.05.2021 17:50 officialrogerfp3gf2s
In a study of housing demand, a county assessor is interested in developing a regression model to estimate the selling price of residential properties within her jurisdiction. She randomly selects 15 houses and records the selling price in addition to the following values: the size of the house (in square feet), the total number of rooms in the house, the age of the house, and an indication of whether the house has an attached garage. These data are stored in the file P10_26.xlsx.
a. Estimate and interpret a multiple regression equation that includes the four potential explanatory variables. How do you interpret the coefficient of the Attached Garage variable?
b. Evaluate the estimated regression equation’s goodness of fit.
c. Use the estimated equation to predict the sales price of a 3000-square-foot, 20-year-old home that has seven rooms but no attached garage. How accurate is your prediction?
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