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A real estate agent wished to estimate the relationship between the sale price of residential properties (in $Thous) and the characteristics of the house. The

A real estate agent wished to estimate the relationship between the sale price of residential properties (in $Thous) and the characteristics of the house. The characteristics included in the regression were the age of the house in years, the number of rooms in the house (size), a variable representing the materials used to build the house (1= brick, 0= timber) and a variable representing whether or not the property has a swimming pool (1=yes). The following is an extract from the output produced:

Coefficients Standard Error
Intercept 55 8.3
Age -2.2 0.35
Size 7.3 0.92
Material 15 1.75
Pool 12 1.43

By how many dollars (to the nearest whole dollar) does a 7 year old, 12 room timber house with a pool exceed the predicted price of a brand new 9 room brick house with no pool? (Insert a negative sign in your answer if the first house has a lower predicted value than the second).

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