4- Is the Average starting salary rate upon graduation X1 is related to the acceptance rate at the Universities X2? Data concerning a sample of 38 full-time MBA program offered by private universities. The variables collected for this sample are average starting salary upon graduation ($) X1, the percentage of applicants to the full-time program who were accepted X2, the average GMAT X3 test score of students entering the program, program per-year tuition ($) X3, and percent of students with job offers at time of graduation X5.

Download the Excel data File ?MBA?

Let:

X1 the average starting salary upon graduation.

X2 the acceptance rate,

X3 the average GMAT score

X4 the program per-year tuition,

X5 the rate of graduates employed at graduation,

4. (7Points) Use the results in (3) to generate a model in which all variables are significant (using ?=0.05) with no multicollinearity problem and call it REG2. which model is better? Check again for multicollinearity and use adjusted r2 to decide which model is better: REG1 or REG2

X1 X2 X3 X4 X5 151844 10.6 728 63624 82.3 156747 20.4 721 66084 87.3 146424 22.6 731 66501 81.7 145550 13.6 738 68802 84.8 141794 18.2 714 66058 80.7 155396 5.5 738 65822 64.4 149345 22.7 725 66401 90.5 151500 15.4 730 68953 77.3 135737 19.4 718 63172 76.3 146505 20.6 692 63179 84.5 144649 22.3 722 65099 79.6 147589 27.6 690 62851 78 141531 28.7 677 60652 72.9 138938 31.6 679 58489 82.1 122776 45.6 684 55125 68.8 117790 28.1 689 56782 78.6 126515 33.8 705 55735 73.6 130162 43.9 697 52853 79.5 130825 27.4 701 52812 74.9 121791 41.2 670 51605 75 111673 34.1 676 45427 80.5 109503 39.1 658 48343 76.4 111325 35.3 687 50732 68.1 107989 39.2 651 46032 62.2 78968 40.6 613 36765 64.5 78576 56.1 643 49270 55.6 100410 55.5 639 46547 64.9 77173 62.2 639 50390 51.6 87665 65.2 643 37497 59.3 73857 57.9 610 32578 91.8 75694 54.9 608 41908 18.8 51044 51.4 555 41981 59.8 65535 82.4 572 49520 26.6 104062 34.5 507 33728 56.5 54084 88.6 483 22059 60.7 80121 60.6 475 40235 33.8 54964 96 533 38058 42.6