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A company conducted a study to determine the amount charged on credit cards. The independent variables used were household size and income (in thousands). Fifty

A company conducted a study to determine the amount charged on credit cards. The independent variables used were household size and income (in thousands). Fifty households were studied and the results of the multiple regression analysis are given.

Regression

Variables Entered/Removeda
Model Variables Entered Variables Removed Method
1 HouseholdSize . Stepwise (Criteria: Probability-of-F-to-enter <= .050, Probability-of-F-to-remove >= .100).
2 Income . Stepwise (Criteria: Probability-of-F-to-enter <= .050, Probability-of-F-to-remove >= .100).
a. Dependent Variable: AmtCharged

Model Summary
Model R R Square Adjusted R Square Std. Error of the Estimate
1 .753a .567 .558 620.793
2 .909b .826 .818 398.091
a. Predictors: (Constant), HouseholdSize
b. Predictors: (Constant), HouseholdSize, Income

ANOVAa
Model Sum of Squares df Mean Square F Sig.
1 Regression 24200717.481 1 24200717.481 62.796 .000b
Residual 18498431.339 48 385383.986
Total 42699148.820 49
2 Regression 35250755.672 2 17625377.836 111.218 .000c
Residual 7448393.148 47 158476.450
Total 42699148.820 49
a. Dependent Variable: AmtCharged
b. Predictors: (Constant), HouseholdSize
c. Predictors: (Constant), HouseholdSize, Income

Coefficientsa
Model Unstandardized Coefficients Standardized Coefficients t Sig.
B Std. Error Beta
1 (Constant) 2581.941 195.263 13.223 .000
HouseholdSize 404.128 50.998 .753 7.924 .000
2 (Constant) 1304.905 197.655 6.602 .000
HouseholdSize 356.296 33.201 .664 10.732 .000
Income 33.133 3.968 .516 8.350 .000
a. Dependent Variable: AmtCharged

Excluded Variablesa
Model Beta In t Sig. Partial Correlation Collinearity Statistics
Tolerance
1 Income .516b 8.350 .000 .773 .970
a. Dependent Variable: AmtCharged
b. Predictors in the Model: (Constant), HouseholdSize

What is the regression equation?

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