Compute for the Variable Rate for utilities cost per meal served and the 1. High-Low method 2. Least Squares Regression method. MONTH December January February MEALS SERVED 55 30 25 U
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- Problem 2-28A Estimating fixed and variable cost using the regression method Dean and Powell Tax Services Company has 31 branch offices in the nation. Each office has about three to six professional accountants and one to two secretaries. In a busy season, the office manager, who is also a professional accountant, can hire temporary employees for support work such as document filing and typing. Norman Dean, the president, is wondering whether he should expand his business by opening more offices. One of the factors that he is considering is how to estimate office support costs. Andrea Jones, the accountant, collected the following cost data for all 31 offices. Branch Professional Hours Support Costs Branch Professional Hours Support Costs A1 225 $4,241 F2 165 $3,856 A2 113 3,435 G1 358 5,936 A3 387 6,398 G2 471 8,615 A4 412 6,502 G3 492 9,639 B1 258 4,140 G4 328 5,968 B2 146 3,368 G5 359 7,115 B3 275 3,820 G6 174 3,287 D1…Problem 1: I have uploaded data (PCE-PDI.xls) for the US total personal consumption expenditures and total disposable income from 1971:1 to 2009:7. Divide the entire sample into two subsamples: 1971:01 to 1985:12 and 1986:01 to 2009:07. Here consumption expenditure (PCE) is the dependent variable and disposable income (PDI) is the independent variable. Let variable Y denotes consumption expenditure and variable X denotes disposable income. (a) Estimate a two-variable regression model for both subsamples and report the estimated results.Question 22: A least squares regression line : A- may be used to predict a value of y if the corresponding x value is given. B- implies a cause-effect relationship between c and y. C- can only be determined if a good linear relationship exists between x and y . D- All of these answers are correct.
- 2(a).SSR in linear regression is equal to? SST-SSE SST+SSE SSE-SST SST x SSE SST/SSE correct option? (b).SSE or Sum of square erros show variations in between the populations variations within the populatios Type 1 error Family wise wrror Type 2 error variations within the samples correct option?Is there any multicollinearity problem in the above multiple regression model? How do you know? Risk of Stroke (%) Age Pressure Smoker (Yes=1) 12 57 152 0 24 67 163 0 13 58 155 0 56 86 177 1 28 59 196 0 51 76 189 0 18 56 155 1 31 78 120 0 37 80 135 1 15 78 98 0 22 71 152 0 36 70 173 1 15 67 135 1 48 77 209 0 15 60 199 0 36 82 119 1 8 66 166 0 34 80 125 1 3 62 117 0 37 59 207 1Question 9 of 10, Step 1 of 2 The following table lists the birth weights (in pounds), x, and the lengths (in inches), y, for a set of newborn babies at a local hospital. Birth Weights and Lengths Birth Weight (in Pounds), x 8 7 6 9 10 8 3 3 7 11 Length (in Inches), y 20 18 16 21 19 20 15 16 16 21 Step 1 of 2 : Find an equation of the least-squares regression line. Round your answer to three decimal places, if necessary.
- Which of the following are feasible equations of a least squares regression line for numbers of dollars left in an endowment providing college scholarships in each of its first ten years if it was entirely funded by a single donation? A) y=269,000+8300x. B) y=69,000-8300x. C) y=-269,000-8300x. D) y=269,000-8300x. E) y=0-8300xGiven the bivariate data : x y 0 -0.1 1 -3.3 2 -6.1 3 -9.6 4 -12.2 Find the least squares regression line for the data . Round constants to the nearest hundredth . Use the equation of the least squares line to predict the value of y when x=3.6 .Suppose a study wants to predict the market price of a certain species of turtle (Y) based on the following independent variables indicated in the table. Based from the table, what is the equation of the multiple linear regression? (Round off up to two decimal places. Market Price = 0.07 - 0.40*weight + 1.51*length + 1.41*width + 0.80*age Market Price = - 0.40*weight + 1.51*length + 1.41*width + 0.80*age Market Price = 0.07 + 0.40*weight + 1.51*length + 1.41*width + 0.80*age Market Price = 0.07 - 0.40 + weight + 1.51 + length + 1.41 + width + 0.80 + age
- The operations manager of a musical instrument distributor feels that the demand for Bass Drums may be related to the number of television appearances by the popular rick group Green Shades during the previous month. The manager has collected the data shown in the following table. Demand for Bass Drums 3 6 7 5 10 8 Green Shades TV appearances 3 4 7 6 8 5 Develop the linear regression equation to forecast. Forecast demand for Bass Drums when Green Shades’ TV appearances are 10. Compute MSE and standard deviation for Problem 8.x 5.7 4.1 6.2 4.4 6.5 5.8 4.9 y 1.9 4.8 0.8 3.9 1.2 1.7 3.0 (a) Computethecoefficientofdetermination. (b) Howmuchofthevariationintheoutcomevariableisexplainedbytheleast-squares regression line?Problem 2 The following printout shows the results of a simple linear regression model that predicts monthly sales (in thousands of dollars) based on how much money was spent on advertising (in thousands of dollars) during a particular month for 15 stores of a retail chain. a) Is there a statistically significant relationship between money spent on advertising and sales? Test at the 5% level of significance and explain your approach (including hypotheses). b) Somebody claims that every additional $1,000 in advertising will increase sales by more than $2,000 in the population. Can you find support for this claim given the results of your analysis? Test at the 5% level of significance and explain your approach (including hypotheses). How is this test different from the one in part a)? c) Find a 95% confidence interval for the change in sales given a $1,000 increase in the amount of money spent on advertising. How does this confidence interval relate to your answer to part a)?