1. Nast Stores has derived the following consumer credit-scoring model after years of data collecting and model testing:

Y = (0.20 EMPLOYMT) + (0.4 HOMEOWNER) + (0.3 CARDS)

EMPLOYMT = 1 if employed full-time, 0.5 if employed part-time, and 0 if unemployed

HOMEOWNER = 1 if homeowner, 0 otherwise

CARDS = 1 if presently has 15 credit cards, 0 otherwise

Nast determines that a score of at least 0.70 indicates a very good credit risk, and it extends credit to these individuals.

1a. If Janice is employed part-time, is a homeowner, and has six credit cards at present, does the model indicate she should receive credit?

1b. Janice just got a full-time job and closed two of her credit card accounts. Should she receive credit? Has her creditworthiness increased or decreased, according to the model?