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on obtained forumcial data on ?1 drug companies. Let Y correspond to the price-to-book value ratio. X, correspond to the return on equity, and X,

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on obtained forumcial data on ?1 drug companies. Let Y correspond to the price-to-book value ratio. X, correspond to the return on equity, and X, correspond to the gro Click the icon to view the ton data. PLEASE RUN SPSS OR STATCRUNCH TO OBTAIN THE REQUIRED DATA TO ANSWER THE QUESTIONS BELOW Be prepared to RUN SPSS OR STATCRUNCH In other questions Business Valuation Data X a. Develop a nasion model to predict price-to-book value ratio based on return on equity Price Book Value Ratio Return on Equity Growth & 1.529 13.00 8 434 (Round to three decimal places as needed.) 8 262 11 883 135.617 2074 12 345 0.124 b. Develop a regression model to predict price-to-book value rasio based on growth 8.603 25.065 14 237 8. 17 22.682 3.18 37.958 19 04 (Round to free decimal places as needed ) 2.527 25 639 24.633 5.277 19.604 14.683 c. Develop a regression model to predict price-to-book value ratio based on return on equity and growth. 2.373 22 802 49.819 7.69 69.718 38.635 0.494 3.787 41.099 (Round to three decimal places as needed.) 2.54 9.186 28.961 7.549 29.126 51.964 d. Compute and Interpret the adjusted ?' for each of the three modeis 5.232 17 684 25 053 Start with the part (a) model. 218 23.882 4.876 31 468 9.533 The ajusted . shows that " of the variation in 2. 109 14.728 is explained by 18.433 correcting for the number of independent variables in the model Round to one decimal place as needed.) 4.019 (1.929 39. 152 1.898 14. 169 39.533 Compute and interpret the adjusted ez for the part (b) model. 1581 14 104 27 012 2.037 14.894 13.24 The adjusted r shows that % of the variation in 4.975 20.654 17 194 is explained by correcting for the number of independent variables in the model. 2.322 14 912 15.934 (Round to one decimal place as needed.) 2 10 5.581 16.68 Compute and interpret the adjusted ? for the part (o) model 2.584 8.275 1.823 18.256 18 231 The edjusted ? shows that % of the variation in 5 46 23.948 16.763 in explained by | correcting for the number of independent variables in the model 4.734 14.681 15 458 (Round to one decimal place as he 2512 8.228 33 095 B. Which of these three models do you think is the best predictor of price-to-book-value mano? 1.734 19 044 8 495 8 342 38.889 15 08 The model from h the best pre ratio because it has the value of 2 268 15 091 25.178 2.907 19.799 0 304 7.542 18.359 3.304 3.265 20.719 9.469 2.810 34.810 7 072 2418 15.441 9.515 1 232 10-303 4 727 1061

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