M2_A2. Western Home Inspections is a home inspection service that provides prospective homebuvers with a thorough assessment of the major systems in a house prior to the execution of the purchase contract. Prospective homebuvers often ask the company.r for an estimate of the ave rage mo nthlv heating cost of the home during the winter. To answer this question. the company.r wants to build a regression model to help predict the average monthlv heating cost {Y} as a function of the average outside temperature in the winter {I1}, the amount of attic insulation in the house {X2}, the age ofthe furnace in the house {K3}, and the size of the house measured in square feet {K4}. Data on 2D homes has been recorded and is shown in Worksheet A2. The companv wants to build a regression model to estimate the average monthlv heating cost based on outside temperature, attic insulation. age of the furnace, and size ofthe house. (Note: I have made some modifications to this problem since creatingthe supporting video - although it shows a different problem number - it is the solution for this problem]. 3] Prepare a scatter plot showing the relation ship between the heating cost and each of the independent variables. b} lfthe home inspector wanted to build a regression model using only one independent variable to predict heating cost, which variable should be used? c] Whv? d] How do vou use the value of Significance F in the model with onlv one independent variable? e} lfthe home inspector wanted to build a regression model using two independent variable to predict heating cost, which variable should be added to the model? f]: Whv? g} lfthe home inspector wanted to build a regression model using three independent variable to predict heating cost, which variable should be added to the two variable model? b} Whv? i] lfthe home inspector wanted to build a regression model using four independent variable to predict heating cost, which variable should be added to the three variable model? ii Whv? It} How do you use the value of Significance F in the model with more than one independent variable? I] Does there appear to be anv multicollinearitv among the independent variables? m] How can vou tell if vou have multicollinearitv? n} Which sets of variables indicate multicollinearitv o] Based on vour best model. what is the expected average monthlv heating oost for a home which has an average outside temperature of 45, 3 inches of attic insulation. a I" vear old furnace. and is 200D square foot