An investment analyst collected data obtained from publicly available sources on 20 randomly selected companies. The data consisted of the 52-week-high stock prices, PE ratio, and market value of the company. The analyst wishes to produce a regression question to predict the market value using the 52-week-high stock price and the PE ratio of the company. He creates a complete second-degree polynomial Complete parts a through c below. Click the icon to view the investment data a Construct an estimate of the regression equation using the indicated variables. Let x, be the 52-week-high and let xz be the PE ratio 9=0+ (x + ( x + x+xx+xz (Round the constant and the coefficients of x, and X, to two decimal places as needed. Round all other values to three decimal places as needed) b. Determine if any of the quadratic terms are useful in predicting the average market value. Use a p-value approach with a significance level of 0 10 State the hypotheses to test to determine if the quadratic terms are useful Ho HA The best statisticis (Round to two decimal places as needed) The p value is (Round to three decimal places as needed) State an appropriate conclusion the null hypothesis. There evidence to conclude that the quadratic terms are useful c. Determine if any of the PE ratio terms ar useful in predicting the average market value. Use a test statistic approach with a significance level of 001 State the hypotheses to test to determine if the PE ratio terms are useful Ho HA The test statistic is (Round to two decimal places as needed) The critical value is F (Round to two decimal places as needed) State an appropriate conclusion the null hypothesis. There evidence to conclude that the PE ratio terms are useful i Investment Data 52-Week-High 31 71 32 12 - 22 48 28 36 20 34 33 64 44 50 PE Ratio 19 63 23 18 25 18 66 22 32 49 Market Value 1536 8435 1294 1265 1539 1529 7888 1785 3386 4306 2645 1420 1941 3444 1661 1627 4177 1538 1544 1236 35 21 26 47 39 80 34 17 15 20 9 14 13 48 48 50 Print Done An investment analyst collected data obtained from publicly available sources on 20 randomly selected companies. The data consisted of the 52-week-high stock prices, PE ratio, and market value of the company. The analyst wishes to produce a regression question to predict the market value using the 52-week-high stock price and the PE ratio of the company. He creates a complete second-degree polynomial Complete parts a through c below. Click the icon to view the investment data a Construct an estimate of the regression equation using the indicated variables. Let x, be the 52-week-high and let xz be the PE ratio 9=0+ (x + ( x + x+xx+xz (Round the constant and the coefficients of x, and X, to two decimal places as needed. Round all other values to three decimal places as needed) b. Determine if any of the quadratic terms are useful in predicting the average market value. Use a p-value approach with a significance level of 0 10 State the hypotheses to test to determine if the quadratic terms are useful Ho HA The best statisticis (Round to two decimal places as needed) The p value is (Round to three decimal places as needed) State an appropriate conclusion the null hypothesis. There evidence to conclude that the quadratic terms are useful c. Determine if any of the PE ratio terms ar useful in predicting the average market value. Use a test statistic approach with a significance level of 001 State the hypotheses to test to determine if the PE ratio terms are useful Ho HA The test statistic is (Round to two decimal places as needed) The critical value is F (Round to two decimal places as needed) State an appropriate conclusion the null hypothesis. There evidence to conclude that the PE ratio terms are useful i Investment Data 52-Week-High 31 71 32 12 - 22 48 28 36 20 34 33 64 44 50 PE Ratio 19 63 23 18 25 18 66 22 32 49 Market Value 1536 8435 1294 1265 1539 1529 7888 1785 3386 4306 2645 1420 1941 3444 1661 1627 4177 1538 1544 1236 35 21 26 47 39 80 34 17 15 20 9 14 13 48 48 50 Print Done
