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Consider a regression study involving a dependent variable y, a quantitative independent variable x1, and a categorical independent variable with three possible levels (level 1,

Consider a regression study involving a dependent variable y, a quantitative independent variable x1, and a categorical independent variable with three possible levels (level 1, level 2, and level 3).

(i) How many dummy variables are required to represent the categorical variable?

(ii) Write a multiple regression equation relating x1, andthe categorical variableto y.

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