A financial analyst engaged in business valuation obtained financial data on 71 drug companies. Let Y correspond to theprice-to-book valueratio, X1 correspond to the return onequity, and X2 correspond to the growth percentage. Use the accompanying data to complete parts a. through e. below.

Price/Book Value Ratio Return on Equity Growth%

1.453 12.982 6.382

8.293 11.781 135.692

2.023 12.414 0.076

6.497 25.182 14.285

1.216 8.832 22.709

3.243 38.084 19.044

2.504 25.699 24.523

5.242 19.613 11.752

2.427 22.786 49.952

7.672 69.798 36.795

0.395 3.773 41.061

2.567 9.126 28.823

7.722 29.126 51.978

5.242 17.808 25.081

2.028 29.179 23.917

4.759 31.483 9.618

2.203 14.786 18.374

4.107 12.045 39.115

1.937 14.283 39.435

1.498 14.131 27.099

1.879 14.971 13.253

4.957 20.607 17.203

2.417 14.965 16.013

2.123 5.608 16.696

3.004 11.188 8.314

1.726 16.141 18.273

5.549 24.049 16.726

4.697 14.803 46.556

2.625 6.233 34.073

1.766 19.068 8.549

8.413 39.046 15.007

2.246 15.101 25.226

2.844 19.652 0.268

7.378 18.479 3.301

3.373 20.664 9.477

2.812 34.634 7.038

2.377 15.512 9.413

1.122 10.387 4.635

3.062 23.601 4.074

10.297 91.595 13.424

2.116 1.575 15.917

1.667 9.441 5.646

1.919 19.371 -0.004

7.166 4.994 102.671

1.263 42.734 1.633

5.714 90.841 74.143

6.503 19.403 8.973

2.713 27.401 34.429

3.455 12.999 12.249

6.846 24.589 11.514

13.718 81.917 24.526

4.149 1.514 20.142

7.186 3.722 22.287

6.206 31.472 49.822

1.041 5.014 13.253

9.229 47.802 61.125

1.237 13.417 10.891

1.004 35.974 9.016

3.897 28.676 71.078

3.505 18.154 51.742

2.256 13.986 16.923

10.087 132.995 171.301

4.212 21.921 8.633

8.518 11.254 247.718

1.986 17.174 10.703

4.159 19.481 6.289

2.342 8.457 24.505

2.974 18.526 14.305

4.556 21.608 5.748

5.041 49.491 31.364

2.104 19.395 3.817

Develop a regression model to predictprice-to-book-value ratio based on return on equity.

Yi= __ + __X1i

(Round to 4 decimal places as needed)