STATISTICAL TECHNIQUES IN BUSINESS AND E
18th Edition
ISBN: 9781260570489
Author: Lind
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 14, Problem 26CE
a.
To determine
Make the
Explain whether there are any problems with multicollinearity.
b.
To determine
Find the regression equation and explain.
Find the number of additional family member to the amount spent on food.
c.
To determine
Find the value of
Also explain whether the
d.
To determine
Explain whether any of the independent variables will be deleted.
e.
To determine
Plot the residuals in a histogram.
Also explain whether there is any problem with the normal assumptions.
f.
To determine
Plot the residual plot.
Explain whether the plot reveals any problems with homoscedasticity.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
Many regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information.
Family
Food
Income
Size
1
$
5.37
$
73.98
4
2
4.08
54.90
2
3
5.76
156.22
4
4
3.48
52.02
1
5
4.20
65.70
2
6
4.80
53.64
4
7
4.32
79.74
3
8
5.04
68.58
4
9
6.12
165.60
5
10
3.24
64.80
1
11
4.80…
Many regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information.
Family
Food
Income
Size
1
$
5.04
$
73.98
4
2
4.08
54.90
2
3
5.76
94.14
4
4
3.48
52.02
1
5
4.20
65.70
2
6
4.80
53.64
4
7
4.32
79.74
3
8
5.04
68.58
4
9
6.12
165.60
5
10
3.24
64.80
1
11
4.80…
Many regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information.
Family
Food
Income
Size
1
$
6.16
$
73.98
5
2
4.08
54.90
2
3
5.76
124.25
4
4
3.48
52.02
1
5
4.20
65.70
2
6
4.80
53.64
4
7
4.32
79.74
3
8
5.04
68.58
4
9
6.12
165.60
5
10
3.24
64.80
1
11
4.80…
Chapter 14 Solutions
STATISTICAL TECHNIQUES IN BUSINESS AND E
Ch. 14 - There are many restaurants in northeastern South...Ch. 14 - Prob. 1ECh. 14 - Thompson Photo Works purchased several new, highly...Ch. 14 - A consulting group was hired by the Human...Ch. 14 - Cellulon, a manufacturer of home insulation, wants...Ch. 14 - Refer to Self-Review 141 on the subject of...Ch. 14 - Prob. 5ECh. 14 - Prob. 6ECh. 14 - Prob. 3SRCh. 14 - Given the following regression output, answer the...
Ch. 14 - The following regression output was obtained from...Ch. 14 - A study by the American Realtors Association...Ch. 14 - The manager of High Point Sofa and Chair, a large...Ch. 14 - Prob. 10ECh. 14 - Prob. 11ECh. 14 - A real estate developer wishes to study the...Ch. 14 - Prob. 13CECh. 14 - Prob. 14CECh. 14 - Prob. 15CECh. 14 - Prob. 16CECh. 14 - The district manager of Jasons, a large discount...Ch. 14 - Suppose that the sales manager of a large...Ch. 14 - The administrator of a new paralegal program at...Ch. 14 - Prob. 20CECh. 14 - Prob. 21CECh. 14 - A regional planner is studying the demographics of...Ch. 14 - Great Plains Distributors, Inc. sells roofing and...Ch. 14 - Prob. 24CECh. 14 - Prob. 25CECh. 14 - Prob. 26CECh. 14 - Prob. 28CECh. 14 - Prob. 29CECh. 14 - The director of special events for Sun City...Ch. 14 - Prob. 31CECh. 14 - Prob. 32CECh. 14 - Prob. 33DACh. 14 - Prob. 34DACh. 14 - Prob. 35DACh. 14 - Prob. 1PCh. 14 - Quick-print firms in a large downtown business...Ch. 14 - The following ANOVA output is given. a. Compute...Ch. 14 - Prob. 1CCh. 14 - Prob. 2CCh. 14 - Prob. 3CCh. 14 - In a scatter diagram, the dependent variable is...Ch. 14 - What level of measurement is required to compute...Ch. 14 - If there is no correlation between two variables,...Ch. 14 - Which of the following values indicates the...Ch. 14 - Under what conditions will the coefficient of...Ch. 14 - Given the following regression equation, = 7 ...Ch. 14 - Given the following regression equation, = 7 ...Ch. 14 - Given the following regression equation, = 7 ...Ch. 14 - Prob. 1.9PTCh. 14 - In a multiple regression equation, what is the...Ch. 14 - Prob. 1.11PTCh. 14 - Prob. 1.12PTCh. 14 - For a dummy variable, such as gender, how many...Ch. 14 - What is the term given to a table that shows all...Ch. 14 - If there is a linear relationship between the...Ch. 14 - Given the following regression analysis output: a....Ch. 14 - Given the following regression analysis output. a....
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.Similar questions
- Cholesterol Cholesterol in human blood is necessary, but too much can lead to health problems. There are three main types of cholesterol: HDL (high-density lipoproteins), LDL (low-density lipoproteins), and VLDL (very low-density lipoproteins). HDL is considered “good” cholesterol; LDL and VLDL are considered “bad” cholesterol. A standard fasting cholesterol blood test measures total cholesterol, HDL cholesterol, and triglycerides. These numbers are used to estimate LDL and VLDL, which are difficult to measure directly. Your doctor recommends that your combined LDL/VLDL cholesterol level be less than 130 milligrams per deciliter, your HDL cholesterol level be at least 60 milligrams per deciliter, and your total cholesterol level be no more than 200 milligrams per deciliter. (a) Write a system of linear inequalities for the recommended cholesterol levels. Let x represent the HDL cholesterol level, and let y represent the combined LDL VLDL cholesterol level. (b) Graph the system of inequalities from part (a). Label any vertices of the solution region. (c) Is the following set of cholesterol levels within the recommendations? Explain. LDL/VLDL: 120 milligrams per deciliter HDL: 90 milligrams per deciliter Total: 210 milligrams per deciliter (d) Give an example of cholesterol levels in which the LDL/VLDL cholesterol level is too high but the HDL cholesterol level is acceptable. (e) Another recommendation is that the ratio of total cholesterol to HDL cholesterol be less than 4 (that is, less than 4 to 1). Identify a point in the solution region from part (b) that meets this recommendation, and explain why it meets the recommendation.arrow_forwardMany regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information. Family Food Income Size 1 $ 5.04 $ 73.98 4 2 4.08 54.90 2 3 5.76 94.14 4 4 3.48 52.02 1 5 4.20 65.70 2 6 4.80 53.64 4 7 4.32 79.74 3 8 5.04 68.58 4 9 6.12 165.60 5 10 3.24 64.80 1 11 4.80…arrow_forwardMany regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information. Family Food Income Size 1 3.90 73.98 2 2 4.08 54.90 2 3 5.76 142.16 4 4 3.48 52.02 1 5 4.20 65.70 2 6 4.80 53.64 4 7 4.32 79.74 3 8 5.04 68.58 4 9 6.12 165.60 5 10 3.24 64.80 1 11 4.80 138.42 3 12 3.24 125.82 1 13 5.76 77.58 7 14 4.48 159.28 2 15 6.60 30.80 2 16 5.40 141.30 3 17…arrow_forward
- Many regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information. Family Food Income Size 1 $ 5.04 $ 73.98 4 2 4.08 54.90 2 3 5.76 94.14 4 4 3.48 52.02 1 5 4.20 65.70 2 6 4.80 53.64 4 7 4.32 79.74 3 8 5.04 68.58 4 9 6.12 165.60 5 10 3.24 64.80 1 11 4.80…arrow_forwardMany regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information. Family Food Income Size 1 $ 4.71 $ 73.98 2 2 4.08 54.90 2 3 5.76 62.70 4 4 3.48 52.02 1 5 4.20 65.70 2 6 4.80 53.64 4 7 4.32 79.74 3 8 5.04 68.58 4 9 6.12 165.60 5 10 3.24 64.80 1 11 4.80…arrow_forwardMany regions in North and South Carolina and Georgia have experienced rapid population growth over the last 10 years. It is expected that the growth will continue over the next 10 years. This has motivated many of the large grocery store chains to build new stores in the region. The Kelley’s Super Grocery Stores Inc. chain is no exception. The director of planning for Kelley’s Super Grocery Stores wants to study adding more stores in this region. He believes there are two main factors that indicate the amount families spend on groceries. The first is their income and the other is the number of people in the family. The director gathered the following sample information. Family Food Income Size 1 $ 5.37 $ 73.98 4 2 4.08 54.90 2 3 5.76 156.22 4 4 3.48 52.02 1 5 4.20 65.70 2 6 4.80 53.64 4 7 4.32 79.74 3 8 5.04 68.58 4 9 6.12 165.60 5 10 3.24 64.80 1 11 4.80…arrow_forward
- Two firms, Gene's Gloves and Wally's Wallets, have factories near a lake. Both firms use a chemical for tanning leather. Some of this chemical runs into the lake. Each year Gene's Gloves dumps 15,000 gallons and Wally's Wallets dumps 25,000 gallons into the lake. A new study has found that fish and other wildlife are negatively impacted by this chemical. The government has decided to cap the amount that the factories can dump into the river at 10,000 gallons per year. For an addition $1 per gallon, Wally's Wallets is able to substitute each gallon of harmful chemical for one gallon of a harmless alternative. Gene's Gloves needs to use the harmful but more effective chemical for production. It costs $3 per gallon to safely dispose of the harmful chemical. Assume that Gene's Gloves and Wally's Wallets maintain the same level of production under the new environmental restrictions. 1. Suppose the government gives each firm the right to dump 5,000 gallons each. If the firms cannot buy or…arrow_forwardOver the years the U.S. grocery distribution and sales industry has grown. Today, the total industry sales are in the billions of dollars. Major retailers, such as Walmart and Target, added food to complement their merchandise sales and Amazon recently purchased Whole Foods. For many companies, forecasts of industry sales are necessary information to plan for short- and long-term decisions. Using the total U.S. grocery store annual sales in millions of dollars (https://www.census.gov/retail/index.html#mrts) in the following table, respond to the following items.arrow_forwardThe CVS Pharmacy located on US 17 in Murrells Inlet has been one of the busiest pharmaceutical retail stores in South Carolina for many years. To try and capture more business in the area, CVS top management opened another store about 6 miles west on SC 707. After a few months, CVS management decided to compare the business volume at the two stores. One way to measure business volume is to count the number of cars in the store parking lots on random days and times. The results of the survey from the last 3 months of the year are reported below. To explain, the first observation was on October 2 at 20:52 military time (8:52 p.m.). At that time there were four cars in the US 17 lot and nine cars in the SC 707 lot. At the 0.05 significance level, is it reasonable to conclude that, based on vehicle counts, the US 17 store has more business volume than the SC 707 store? Vehicles Count Date Time US 17 SC 707 Oct 2 20:52 4 9 Oct 11 19:30 5 7 Oct 15 22:08 9…arrow_forward
- The Dow Jones Industrial Average (DJIA) and the Standard & Poors 500 (S&P500) indexes are used as measures of overall movement in the stock market. The DJIA is based on the price movements of 30 large companies; the S&P 500 is an index composed of 500 stocks. Some say the S&P is a better measure of stock market performance because it is broader based. The closing prices for the DJIA and S&P500 for 20 weeks starting on 9/9/2005 are included in cells E1 to G21. The DJIA data is in cells F1 to F21 and the data for S&P 500 is in cells G1 to G21. Both data sets have labels in first row. Develop the estimated regression equation using DJIA as the independent variable. Place output in cell H1 Is the relationship between DJIA and S&P500 significant using alpha .05? Did the estimated regression equation provide a good fit? (explain) Suppose that the closing price for DJIA is 11,000. Estimate the closing price for the S&P500 Date…arrow_forward..........................akxckkfieowoqaozncncfm.........arrow_forwardAssume that you work in the Planning Department of LTG National Bank and report to Miss G. You will need to do some data analysis and prepare a short-written report. The written part of the report should not exceed a page in length. Remember, Mr. K is the President of the bank, so you will want to ensure that your report is complete and accurate. A copy of the data appears in page 3. The LTG National Bank has offices in several areas of Metro Manila. Mr. K, President and CEO, would like to know the characteristics of his checking account customers. What is the balance of a typical customer? How many other bank services do the checking account customers use? Do the customers use the ATM service and if so how often? What about debit cards? Who uses them, and how often are they used? To better understand the customers, Mr. K asked Miss G, Director of Planning to select a sample of customers and prepare a report. To begin, she has appointed a team from her staff. You are the head of the…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- College Algebra (MindTap Course List)AlgebraISBN:9781305652231Author:R. David Gustafson, Jeff HughesPublisher:Cengage LearningLinear Algebra: A Modern IntroductionAlgebraISBN:9781285463247Author:David PoolePublisher:Cengage Learning
- Glencoe Algebra 1, Student Edition, 9780079039897...AlgebraISBN:9780079039897Author:CarterPublisher:McGraw HillHolt Mcdougal Larson Pre-algebra: Student Edition...AlgebraISBN:9780547587776Author:HOLT MCDOUGALPublisher:HOLT MCDOUGALBig Ideas Math A Bridge To Success Algebra 1: Stu...AlgebraISBN:9781680331141Author:HOUGHTON MIFFLIN HARCOURTPublisher:Houghton Mifflin Harcourt
College Algebra (MindTap Course List)
Algebra
ISBN:9781305652231
Author:R. David Gustafson, Jeff Hughes
Publisher:Cengage Learning
Linear Algebra: A Modern Introduction
Algebra
ISBN:9781285463247
Author:David Poole
Publisher:Cengage Learning
Glencoe Algebra 1, Student Edition, 9780079039897...
Algebra
ISBN:9780079039897
Author:Carter
Publisher:McGraw Hill
Holt Mcdougal Larson Pre-algebra: Student Edition...
Algebra
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Big Ideas Math A Bridge To Success Algebra 1: Stu...
Algebra
ISBN:9781680331141
Author:HOUGHTON MIFFLIN HARCOURT
Publisher:Houghton Mifflin Harcourt
Mod-01 Lec-01 Discrete probability distributions (Part 1); Author: nptelhrd;https://www.youtube.com/watch?v=6x1pL9Yov1k;License: Standard YouTube License, CC-BY
Discrete Probability Distributions; Author: Learn Something;https://www.youtube.com/watch?v=m9U4UelWLFs;License: Standard YouTube License, CC-BY
Probability Distribution Functions (PMF, PDF, CDF); Author: zedstatistics;https://www.youtube.com/watch?v=YXLVjCKVP7U;License: Standard YouTube License, CC-BY
Discrete Distributions: Binomial, Poisson and Hypergeometric | Statistics for Data Science; Author: Dr. Bharatendra Rai;https://www.youtube.com/watch?v=lHhyy4JMigg;License: Standard Youtube License