Spring is a peak time for selling houses. The table below contains the selling price, number of bathrooms, square footage, and number of bedrooms of 26 homes in a certain city. Selling Price Baths Sq Ft Beds Selling Price Baths Sq Ft Beds 160,000 1.5 1,766 3 295,000 2.5 1,860 3 170,000 2 1,768 3 325,000 2 2,056 4 178,000 1 1,219 3 325,000 3.5 2,776 4 182,500 1 1,558 2 328,400 2 1,408 3 195,100 1.5 1,125 3 331,000 1.5 1,972 3 212,500 2 1,196 2 344,500 2.5 1,736 3 245,900 2 2,128 3 365,000 2.5 1,990 4 250,000 3 1,280 3 385,000 2.5 3,640 4 255,000 2 1,596 3 395,000 2.5 1,908 4 258,000 2.5 2,374 4 399,000 2 2,108 3 267,000 3.5 2,439 3 430,000 2 2,462 4 268,000 2 1,470 4 430,000 2 2,615 4 275,000 2 1,688 4 454,000 3.5 3,700 4 (a) Develop scatter plots of selling price versus number of bathrooms. Selling Price 500000 450000 400 000 350000 300 000 250000 200 000 150000 100000 Selling Price 500000 450000 400 000 350000 300 000 250000 200 000 150000 100000 Selling Price 50 000+ 0 0. 0.5 1. 1.5 2. 2.5 3. 3.5 4. Number of Bathrooms 500 000 450000 400 000 350000 300 000 250000 200 000 150000 100000 50 000 0 + 0. 0.5 1. 1.5 2. 2.5 3. 3.5 Number of Bathrooms Selling Price 50 000 0 0. 0.5 1. 1.5 2. 2.5 3. 3.5 4. Number of Bathrooms 500 000 450000 400 000 350000 300 000 250000 200 000 150000 100000 50 000 0 0. 0.5 1. 1.5 2. 2.5 3. 3.5 4. Number of Bathrooms What is the relationship between the selling price of a house and the number of bathrooms in it? As the number of bathrooms increases, the selling price increases. As the number of bathrooms increases, the selling price decreases. O Selling Price Develop a scatter plot of selling price versus square footage. Selling Price 500 000 450000 400 000 350000 300 000 250000 200000 150000 100000 Selling Price 500 000 450000 400 000 350000 300 000 250000 200 000 150000 100000 50 000- 0 0 500 1000 1500 2000 2500 3000 3500 4000 Square Feet 500 000 450000 400 000 350000 300 000 250000 200 000 150000 100000 50 000- 0. 0 500 1000 1500 2000 2500 3000 3500 4000 Square Feet Selling Price 50 000 0 0 500 1000 1500 2000 2500 3000 3500 4000 Square Feet 500 000 450000 400 000 350000 300 000 250 000 200 000 150000 100000 50 000 0 0 500 1000 1500 2000 2500 3000 3500 4000 Square Feet What is the relationship between the selling price of a house and its square footage? As the square footage of the house increases, the selling price increases. As the square footage of the house increases, the selling price decreases. Develop a scatter plot of selling price versus number of bedrooms. 500000 450000 400000 350000 Selling Price 300000 250000 200000 150000 100000 50000 0 + 0. 0.5 1. 1.5 2. 2.5 3. 3.5 4. 4.5 Number of Bedrooms 500000 450000 400000 350000 300000 250000 200000 150000 Selling Price - ... 100000 50000- 0 + 0. 0.5 1. 1.5 2. 2.5 3. 3.5 4. 4.5 Number of Bedrooms i Selling Price 500000 450000 400000 350000 300000 250000 200000 150000 100000 50000 0 + + 0. 0.5 1. 1.5 2. 2.5 3. 3.5 4. 4.5 Number of Bedrooms 500000 450000 400000 350000 300000 250000 200000 150000 100000 50000 Selling Price 0 0. 0.5 1. 1.5 2. 2.5 3. 3.5 4. 4.5 Number of Bedrooms What is the relationship between the selling price of a house and the number of bedrooms in it? As the number of bedrooms increases, the selling price increases. As the number of bedrooms increases, the selling price decreases. (b) Develop an estimated regression equation that can be used to predict the selling price given the three independent variables (number of baths, square footage, and number of bedrooms). (Round your numerical values to two decimal places. Let x, represent the number of baths, x represent the square footage, X3 represent the number of bedrooms, and y represent the selling price.) 6864.01 + 9503.08X1 + 55.01X2 + 47723.19x3 (c) It is argued that we do not need both number of baths and number of bedrooms. Develop an estimated regression equation that can be used to predict selling price given square footage and the number of bedrooms. (Round your numerical values to two decimal places. Let x represent the square footage, x represent the number of bedrooms, and y represent the selling price.) =14109.45 +59.73X1 + 48976.09X2 (d) Suppose your house has three bedrooms and is 2,850 square feet. What is the predicted selling price (in $) using the model developed in part (c). (Round your answer to the nearest cent.) $ 331268.22