Question
A company that manufactures riding mowers wants to identify the best sales prospects for an intensive sales campaign. In particular, the manufacturer is interested in
A company that manufactures riding mowers wants to identify the best sales prospects for an intensive sales campaign. In particular, the manufacturer is interested in classifying households as prospective owners or nonowners on the basis of income (in $1000s) and Lot Size (in 1000 ft2). The marketing expert looked at a random sample of 24 households, given in the file ridingmowers.csv.Use all the data to fit a logistic regression of ownership on the two predictors.
a. What Percentage of households in the study were owners of a riding mower.
b.Build a scatter plot of Income vs. Lot Size using color or symbol to distinguish owners from nonowners.From the scatter plot, which class seems to have a higher average income, owners or nonowners?
c.Among nonowners, what is the percentage of households classified correctly?
d. To increase the percentage of correctly classified nonowners, should the cutoff probability be increased or decreased?
e. What are the odds that a household with a $60K income and a lot size of 20,000 ft^2 is an owner?
f. What is the classification of a household with a $60K income and a lot size of 20,000 ft^2?Use cutoff = 0.5.
g. What is the minimum income that a household with 16,000 ft^2 lot size should have before it is classified as an owner?
RidingMower.csv data below:
Income Lot_SizeOwnership
6018.4Owner
85.516.8Owner
64.821.6Owner
61.520.8Owner
8723.6Owner
110.119.2Owner
10817.6Owner
82.822.4Owner
6920Owner
9320.8Owner
5122Owner
8120Owner
7519.6Nonowner
52.820.8Nonowner
64.817.2Nonowner
43.220.4Nonowner
8417.6Nonowner
49.217.6Nonowner
59.416Nonowner
6618.4Nonowner
47.416.4Nonowner
3318.8Nonowner
5114Nonowner
6314.8Nonowner
All answers need R Code.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started