QUESTION 1 Are more selective colleges more expensive? This is a question asked by students enrolled in a statistics course at a liberal arts college. To answer this question, the students collected Information on a random sample of 41 liberal arts colleges across the nation. They considered the regression model given below. Following questions will be answered based on the output below: Heast = Po + 8, PRIVATE + 8, ADM_RATE Variable Description COST Average cost of attendance PRIVATE Is the school private? (0 = no, 1 = yes) ADM RATE Admissions rate Below is the output the students obtained from their favorite statistical software package. Term Estimate Std. Error / value Intercept 33670.89 5486.87 6.137 PRIVATE 22713.66 3566.25 6.369 ADM RATE -186.60 68.73 -2.715 R2 = 0.6009 Adj. R= = 0.5799 s = 8864 What is the dependent variable? O A COST O B. PRIVATE O C. ADM_RATE O D. Not enough Information is given to determine the answer. QUESTION 2 Which BEST describes the association between average cost and the admissions rate, based on a correlation of r= -0.418? (10p) A. positive, linear, moderate O B. negative, linear, moderate O C. negative, linear, strong O D. no clear associationQUESTION 3 What is the regression standard error for the fitted model? O A. 5486.87 O B. 8864 O C. 0.6009 O D. 5799 QUESTION 4 What proportion of the variation in the average cost of attendance does this multiple regression model explain? O A. .5799 O B. .6800 O C. .6009 O D. .6864 QUESTION 5 What is the interpretation of the estimated slope associated with PRIVATE? A. For each 1-unit increase in admission rate, the average cost of attendance increases by $22,713.66, holding the private constant. O B. The average cost of attendance for a private school is $22,713.66 higher than the average cost for a public school, assuming that they have the same admissions rate. C. Private schools are $22,713.66 more expensive, on average. O D. None of the answers is correct.QUESTION 6 What is the interpretation of the estimated slope associated with ADM_RATE? A. A 1% increase in the admissions rate causes the average cost of attendance to decrease by $186.60. O B. As the cost of attendance decreases by $186.60, the admissions rate increases by 1%. C. A 1% decrease in the admissions rate is associated with a $186.60 decrease in the average cost of attendance, holding all else constant. O D. A 1% increase in the admissions rate is associated with a $186.60 decrease in the average cost of attendance, holding all else constant. QUESTION 7 Below are the VIF values of independent variables from the regression model. Do these indicate any potential issues with the model? PRIVATE ADM_RATE 1.084 3.066 O A. Yes, VIF values are below 10 so the model suffers from multicollinearity. O B. No, VIF values are below 10 so the model does not suffer from multicollinearity. C. The information is not enough to answer the question. D. None of the answers is correct