Accounting Today identified top public accounting firms in ten geographic regions across the U.S. The file AccountingPartners6 contains data for public accounting firms in the Southeast, Gulf Coast, and Capital Regions. The variables are: revenue ($M), number of partners in the firm, number of professionals in the firm, proportion of business dedicated to management advisory services (MAS%), whether the firm is located in the Southeast Region (0 = no, l = yes), and whether the firm is located in the Gulf Coast Region (0 = no, l = yes). (Data extracted from www.accountingtoday.com/gallery/ Top-100-Accounting-Firms-Data-62569-l.html.)
Develop the most appropriate multiple regression model to predict firm revenue. Be sure to perform a thorough residual analysis. In addition, provide a detailed explanation of the results.