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Please find below the Predictive Modelling project instructions: You have to submit 2 files : Answer Report : In this, you need to submit all

Please find below the Predictive Modelling project instructions:

You have to submit 2 files : Answer Report: In this, you need to submit all the answers to all the questions in a sequential manner. Your answer should include detailed explanations & inferences to all the questions. Your report should not be filled with codes. You will be evaluated based on the business report.

Note: In the business report, there should be a proper interpretation of all the tasks performed along with actionable insights. Only the presence of interpretation of the models is not sufficient to be eligible for full marks in each of the criteria mentioned in the rubric. Marks will be deducted wherever inferences are not clearly mentioned. THE REPORT HAS TO BE STRICTLY SUBMITTED IN A PDF/DOC FORMAT. ANY OTHER FORMAT WILL NOT BE CONSIDERED FOR GRADING. 6 Marks are allotted for the "Quality of Business Report".

Problem 2: Logistic Regression and LDA

You are hired by a tour and travel agency which deals in selling holiday packages. You are provided details of 872 employees of a company. Among these employees, some opted for the package and some didn't. You have to help the company in predicting whether an employee will opt for the package or not on the basis of the information given in the data set. Also, find out the important factors on the basis of which the company will focus on particular employees to sell their packages.

Dataset for Problem 2: Holiday_Package.csv

Data Dictionary:

Variable Name Description
Holiday_Package Opted for Holiday Package yes/no?
Salary Employee salary
age Age in years
edu Years of formal education
no_young_children The number of young children (younger than 7 years)
no_older_children Number of older children
foreign foreigner Yes/No

Important Note: Please reflect on all that you have learned while working on this project. This step is critical in cementing all your concepts and closing the loop. Please write down your thoughts here.

2.1 Data Ingestion: Read the dataset. Do the descriptive statistics and do null value condition check, write an inference on it. Perform Univariate and Bivariate Analysis. Do exploratory data analysis.

2.2 Do not scale the data. Encode the data (having string values) for Modelling. Data Split: Split the data into train and test (70:30). Apply Logistic Regression and LDA (linear discriminant analysis).

2.3 Performance Metrics: Check the performance of Predictions on Train and Test sets using Accuracy, Confusion Matrix, Plot ROC curve and get ROC_AUC score for each model Final Model: Compare Both the models and write inference which model is best/optimized.

2.4 Inference: Basis on these predictions, what are the insights and recommendations.

Please explain and summarise the various steps performed in this project. There should be proper business interpretation and actionable insights present.

Quality of Business Report(Please refer to the Evaluation Guidelines for Business report checklist. Marks in this criteria are at the moderator's discretion)

Holiday_Package-1.csv

Holliday_Package Salary age educ no_young_children no_older_children foreign
1 no 48412 30 8 1 1 no
2 yes 37207 45 8 0 1 no
3 no 58022 46 9 0 0 no
4 no 66503 31 11 2 0 no
5 no 66734 44 12 0 2 no
6 yes 61590 42 12 0 1 no
7 no 94344 51 8 0 0 no
8 yes 35987 32 8 0 2 no
9 no 41140 39 12 0 0 no
10 no 35826 43 11 0 2 no
11 no 42643 45 11 0 2 no
12 no 35157 60 12 0 0 no
13 no 75327 33 11 2 0 no
14 no 148221 56 14 0 0 no

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