A realtor is analyzing the relationship between the sale price of a house (Price in $), its
Question:
A realtor is analyzing the relationship between the sale price of a house (Price in $), its square footage (Sqft), the number of bedrooms (Beds), the number of bathrooms (Baths), and a Colonial dummy variable (Colonial equals 1 if a colonial-style house, 0 otherwise). The accompanying data file shows information on 36 recent sales.
a. Estimate Price = β0 + β1Sqft + β2Beds + β3Baths + β4Colonial + ε. Show the regression results in a well-formatted table.
b. At the 5% significance level, are the predictor variables jointly significant in explaining Price?
c. At the 5% significance level, are all predictor variables individually significant in explaining Price?
Step by Step Answer:
Business Analytics
ISBN: 9781265897109
2nd Edition
Authors: Sanjiv Jaggia, Alison Kelly, Kevin Lertwachara, Leida Chen