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Need correct answer with step by step calculation The accompanying data file contains 40 observations on the response variable y along with the predictor variables
Need correct answer with step by step calculation
The accompanying data file contains 40 observations on the response variable y along with the predictor variables x and d, Consider two linear regression models where Model 1 uses the variables x and d and Model 2 extends the model by Including the Interaction variable xd. Use the holdout method to compare the predictability of the models using the first 30 observations for training and the remaining 10 observations for validation. Click here for the Excel Data File a-1. Use the training set to estimate Models 1 and 2 Note: Negative values should be indicated by a minus sign. Round your answers to 2 decimal places, Predictor Variable Model 1 (No Interaction) Model 2 (Interaction) Constant a-2. Calculate the RMSE of the two models in the validation set. Note: Do not round intermediate calculations and round final answers to 2 decimal places. Model 1 (No Interaction) Model 2 (Interaction) RMSE2 70 11 3 102 19 76 12 5 83 14 61 17 62 13 8 67 20 9 98 16 1 10 84 11 11 101 15 12 51 16 0 13 108 16 14 32 13 0 15 71 15 16 101 17 17 90 15 18 112 19 19 88 13 20 110 18 1 21 95 17 22 44 14 23 51 19 24 112 17 25 113 17 26 52 13 0 27 61 10 28 100 16 29 73 14 30 90 16 31 57 16 32 159 15 33 53 15 34 119 19 35 109 18 36 73 11 37 104 19 38 45 18 39 67 17 40 65 15 41 74 14 1 42Step by Step Solution
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