Question
An actuary for an insurance company gathered data from 100 recently deceased male customers. He recorded the age at death of the customer as well
An actuary for an insurance company gathered data from 100 recently deceased male customers. He recorded the age at death of the customer as well as the ages at death of his mother and father, the mean ages at death of his grandmothers and the mean ages at death of his grandfathers. He then performed a multiple regression analysis on these data. (9 points) The actuary wanted to improve the model. It was decided to add whether or not each customer smoked (1 for yes, 0 for no) to the data. The output for the new model is shown below. Please refer to Excel Outut for Part D and answer the following questions. What is the regression equation for the second model? (1 point) Interpret the Mother, Father and the Smoker coefficients in the second model. (2 points) Is the second model valid? specify the p-value. (2 points) How much better (in percent) does the second model explain the variation in y than the first model? (2 points) Which independent variable(s) is (are) linearly related to the dependent var