Consider the following model you wish to estimate by using

the OLS,

Price = ? + ? sqrft + ?,

where price is the house price in thousands of dollars and sqrft is size of house in square feet. The OLS result from Excel is as follows (see below).

Suppose the house in the sample has sqrft=3,500. Find the predicted selling price for this house from the OLS regression estimation.

SUMMARY OUTPUT Regression Statistics Multiple R 0.787906548 R Square Adjusted R Square 0.616387387 Standard Error 63.61708058 Observations 88 ANOVA SS MS F Significance F Regression 569801.0753 569801.0753 140.7912919 8.42341E-20 Residual 86 348053.433 4047. 132941 Total 87 917854.5083 Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Intercept 11.20414482 24.74260761 0.452827972 0.651812965 -37.98253022 60.39081986 X Variable 1 (sqrft) 0. 140210977 0.011816643 11.86555064 8.42341E-20 0. 116720269 0. 163701686