Managerial Accounting

Nadia intends to buy a 3-room HDB flat near her workplace in Woodlands. She notices the selling price of HDB flats is dependent on a number of factors. Attached file contains HDB resale price data for a 12-month period from May 2018 to April 2019.

Floor Level Distance to MRT (Km) Remaining Lease (Years) Unit A 12 0.5 75 Unit B 6 0.8 76Table: Sales transaction data collected for 3-rm HDB Flat For the period of May 2018 - April 2019 (1year) Flat Selling Price Remainis OF HDB Flat Letsl HRT [Tears] $296,940 11 0.6 71 $292,040 71 $274,400 1.1 73 $303,200 Q.E 73 $294,980 74 $294,000 1.1 75 $304,780 75 $295,960 0.9 76 $295,940 1.1 76 $307,320 77 11 $325,050 11 0.3 71 12 $298,455 71 13 $293,530 1.1 71 14 $313,230 12 7E 15 $297,470 1.9 76 16 $296,288 S 1.1 TE 17 $307,123 10 75 $298,455 13 0.9 75 14 $296,485 12 1.1 75 20 $310,275 14 21 $349,470 14 22 $341,550 0.2 23 $317,790 7 0.2 $348,480 15 25 $344,520 11 0.2 $316,$00 1.2 27 $336,600 13 0.3 $321,750 1.3 85 29 $327,690 14 30 $346,500 1.3 85 31 $374,220 32 $326,700 33 $316,$00 34 $376,200 1.3 35 $336,600 19 $323,375 0.9 37 $313,425 0.4 $300,490 5 39 $316,410 95 40 $318,400 19 95SUMMARY OUTPUT Regression Statistics Multiple R 0.862045017 R Square 0.743121611 Adjusted R Square 0.721715079 Standard Error 12008.03663 Observations 40 ANOVA 55 MS F Significance F Regression 15016849639 5005616546 34.71471221 1,00809E-10 Residual 36 5190945977 144192943.8 Total 39 20207795616 Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Lower 95.0% Upper 95.0% Intercept 231915.9724 24008.233 9.659851785 1.55316E-11 183225.0191 280606.9257 183225.0191 280606.9257 Floor Level 121.6285617 423-8541202 0.286959253 0.775788745 -737.9871368 951.2448601 -737.9871368 981.2448601 Distance to MRT (Km) -46340.87039 6434.091318 -7.202395505 1.78454E-08 -59389.81239 -33291.92839 -59389.81239 -33291.92839 Remaining Lease (Years) 1411.025093 291 8783818 4.834291201 2.490268-05 819.0682978 2002.981888 819.0682978 2002.981888