Case Study #2 uses the same data file as Case Study #1. It is intended to test your knowledge of how to run and interpret tests of joint significance, tests of individual Significance, and interval estimates. You will also be asked to check for violations of OLS assumptions.

A realty brokerage firm is interested in creating a model for predicting the selling price for homes located in a suburban area in central Virginia. The head of the firm believes there are several variables that are potential predictors of housing prices, including living area (square feet), number of bedrooms, and number of bathrooms. The information in the MBA 7715 Case Study No. 1 Data.xlsx file pertains to a random sample of houses in the particular geographic areas of interest.

Using the data file and the simple and multiple regression models run from Case Study #1, interpret the test of joint and individual significance. Use the technique described in the textbook to run confidence and prediction intervals. Run a test of linear restrictions to determine whether the influence of number of bedrooms differs from the influence of number of bathrooms. Finally, check for violations of model assumptions.

You will be required to DO and submit a brief written report (Microsoft Word format) that summarizes the case study background, your analysis methodology, your analysis findings, and your recommendations (refer to the sample regression report for further guidance).

You will also be required to submit a single Excel spreadsheet for the case study that clearly shows all calculations or other work you performed to derive the necessary regression statistics to derive your findings and recommendations. The regression statistics for each regression model associated with the case study must be presented on a separate worksheet within the spreadsheet. No credit will be granted for any portions of your analyses for which the necessary statistics have not been derived using Excel, or for which you have not shown all calculations or other work performed to derive the statistics or other values associated with your reported findings and recommendations.

Your Excel spreadsheet and Word file must be submitted via the submission link provided in Canvas. This assignment must be completed without the assistance of others; all work submitted must be your own original work. You may refer to the course text, course materials posted on Canvas, and your personal notes in connection with completing the case study. You will only be allowed one attempt for completing the case study. Please pay careful attention to the expectations outlined in the case study grading rubric.

Finally, submit the Instructions/ with your answers to the listed questions and references to the item numbers in your Excel workbook.