Bluereef real estate agent wants to form a relationship between the prices of houses, how many bedrooms, House size in sq ft and Lot Size in sq ft. The data pertaining to 100 houses were processed using MINITAB and the following is an extract of the output obtained: The regression equation is Price = B + Bredroom + House Size + Alot Size Predictor Coef SE Coef T P
Bluereef real estate agent wants to form a relationship between the prices of houses, how many bedrooms, House size in sq ft and Lot Size in sq ft.
The data pertaining to 100 houses were processed using MINITAB and the following is an extract of the output obtained:
The regression equation is Price = B + Bredroom + House Size + Alot Size
Predictor Coef SE Coef T P
Constant 37718 14177 2.66 **
Bedrooms 2306 6994 0.33 0.742
House Size 74.3 52.98 * 0.164
Lot Size -4.36 17.02 -0.26 0.798
S= 25023 R-Sq=56.0% R-Sq(adj)=54.6%
Source DF SS MS F P
Regression 3 76501718347 25500572782 *** ****
Residual
Error 96 60109046053 626135896
Total 99
d) Is y significantly different from -0.5?
e) Perform the F test at the 1% level, making sure to state the null and alternative hypotheses.
f) Give an interpretation to the term “R-sq” and comment on its value .
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