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Please show all workings to arrive to the answer. [Simple Regression on House Price] Consider the following model you wish to estimate by using the

Please show all workings to arrive to the answer.

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[Simple Regression on House Price] Consider the following model you wish to estimate by using the OLS, Price=a+sqrft+e, where price is the house price in thousands of dollars and sqr is size of house in square feet. The OLS result from Excel is as follows (see below). What is the estimated increase in house price for a house if the house is bigger in size by 250 square feet? SUMMARY OUTPUT Regression Statistics Multiple R 0.787906548 R Square Adjusted R Square 0.616387387 Standard Error 63.61708058 Observations 88 ANOVA SS MS F Significance F Regression 569801.0753 569801.0753 140.7912919 8.42341E-20 Residual 86 348053.433 4047. 132941 Total 87 917854.5083 Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Intercept 11.20414482 24.74260761 0.452827972 0.651812965 -37.98253022 60.39081986 X Variable 1 (sqrft) 0. 140210977 0.011816643 11.86555064 8.42341E-20 0. 116720269 0. 163701686

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