1. Interpret the results below. > logit_full summary (logit_full) Call: glm(formula = DEFAULT ~ RATING + SIZE + LLPLOANS + ROE + COMMEQTA + COSTTOINCOME

1. Interpret the results below. > logit_full <- glm(formula = DEFAULT ~ RATING + SIZE + LLPLOANS + ROE + COMMEQTA + COSTTOINCOME + LIQASSTA + EMP_CAT, family = "binomial", data = ratings) 

> summary (logit_full)

Call:

glm(formula = DEFAULT ~ RATING + SIZE + LLPLOANS + ROE + COMMEQTA +

COSTTOINCOME + LIQASSTA + EMP_CAT, family = "binomial", data = ratings)

Deviance Residuals:

Min 1Q Median 3Q Max

-1.8682 -0.7540 -0.3841 0.6875 2.1940

Coefficients:

Estimate Std. Error z value Pr(>|z|)

1. -8.57697 3.92092 -2.187 0.02871 *

RATING"2" 1.77545 1.10577 1.606 0.10836

RATING"3" 3.10876 1.15425 2.693 0.00707 **

SIZE 0.24924 0.21943 1.136 0.25602

LLPLOANS -54.20347 32.08114 -1.690 0.09111 .

ROE -7.04369 2.15228 -3.273 0.00107 **

COMMEQTA 1.80845 5.45477 0.332 0.74024

COSTTOINCOME 3.72107 1.35633 2.743 0.00608 **

LIQASSTA -3.18020 1.56150 -2.037 0.04169 *

EMP_CAT"15-30" -0.03622 0.82305 -0.044 0.96490

EMP_CAT"30-45" 0.14696 0.82645 0.178 0.85886

EMP_CAT"45+" -0.31175 1.03432 -0.301 0.76310

---

Signif. codes: 0 *** 0.001 ** 0.01 * 0.05 . 0.1 1

(Dispersion parameter for binomial family taken to be 1)

Null deviance: 238.79 on 196 degrees of freedom

Residual deviance: 178.24 on 185 degrees of freedom

AIC: 202.24

Number of Fisher Scoring iterations: 6