HiTalk (HT) is a new Mobile Virtual Network Operator (MVNO) established recently to provide mobile communication services to consumers. The management needs to price the mobile plans carefully to attract customers yet ensure the business is viable. It has contracted you to provide consultancy.

You decide to implement a multiple regression analysis by collecting data from a sample of people on their last month's mobile communication fees and the possible factors. a. Explain individually your choices of four independent quantitative variables (excluding the amount of talk time and data usage) and one qualitative dummy variable in the data collection. b. State one of the assumptions of multiple regression analysis and explain how you would prevent or minimise violating this assumption in your analysis. Not required to collect the actual data and carry out the analysis.