Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The accompanying data file contains 35 observations for an ice cream truck drivers daily income (Income in $), number of hours on the road (Hours),

The accompanying data file contains 35 observations for an ice cream truck drivers daily income (Income in $), number of hours on the road (Hours), whether it was a particularly hot day (Hot = 1 if the high temperature was above 85F, 0 otherwise), and whether it was a Holiday (Holiday = 1, 0 otherwise). Consider two models where Model 1 predicts Income on the basis of Hours, Hot, and Holiday and Model 2 also includes the interaction between Hot and Holiday.

image text in transcribedimage text in transcribed

please use the info above to answer a-1 and a-2. I did not get a complete answer last time,

Exercise 7-59 Algo The accompanying data file contains 35 observations for an ice cream truck driver's daily income (Income in $), number of hours on the road (Hours), whether it was a particularly hot day (Hot = 1 if the high temperature was above 85F, O otherwise), and whether it was a Holiday (Holiday = 1, 0 otherwise). Consider two models where Model 1 predicts Income on the basis of Hours, Hot, and Holiday and Model 2 also includes the interaction between Hot and Holiday. picture Click here for the Excel Data File a-1. Use the holdout method to compare the predictability of the models using the first 24 observations for training and the remaining 11 observations for validation. Report the estimates of Models 1 and 2 derived from the training set. (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) Model 1 Model 2 Predictor Variable Constant Hours Hot Holiday Hot * Holiday a-2. Calculate the RMSE of the two models in the validation set. (Do not round intermediate calculations and round your final answers to 2 decimal places.) Model 1 Model 2 RMSE Income Hours Hot Holiday 5 196 282 TU 00 | 8 1 0 1 1 6 318 232 276 312 lololololo 5 8 0 8 0 1 5 0 1 4 0 8 1 OOOO 8 0 0000 8 1 193 110 321 283 325 247 398 448 181 235 7 0 1 8 8 1 1 4 0 8 0 olololol 8 0 000000 1 3 8 8 0 1 1 1 8 1 8 0 1 7 7 1 OOOO 8 238 181 313 449 332 247 363 393 254 228 355 248 291 255 239 181 222 170 374 0 8 0 1 6 7 0 1 8 1 1 5 6 ololololo 6 Oo oo 7 0 5 | 1 Exercise 7-59 Algo The accompanying data file contains 35 observations for an ice cream truck driver's daily income (Income in $), number of hours on the road (Hours), whether it was a particularly hot day (Hot = 1 if the high temperature was above 85F, O otherwise), and whether it was a Holiday (Holiday = 1, 0 otherwise). Consider two models where Model 1 predicts Income on the basis of Hours, Hot, and Holiday and Model 2 also includes the interaction between Hot and Holiday. picture Click here for the Excel Data File a-1. Use the holdout method to compare the predictability of the models using the first 24 observations for training and the remaining 11 observations for validation. Report the estimates of Models 1 and 2 derived from the training set. (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) Model 1 Model 2 Predictor Variable Constant Hours Hot Holiday Hot * Holiday a-2. Calculate the RMSE of the two models in the validation set. (Do not round intermediate calculations and round your final answers to 2 decimal places.) Model 1 Model 2 RMSE Income Hours Hot Holiday 5 196 282 TU 00 | 8 1 0 1 1 6 318 232 276 312 lololololo 5 8 0 8 0 1 5 0 1 4 0 8 1 OOOO 8 0 0000 8 1 193 110 321 283 325 247 398 448 181 235 7 0 1 8 8 1 1 4 0 8 0 olololol 8 0 000000 1 3 8 8 0 1 1 1 8 1 8 0 1 7 7 1 OOOO 8 238 181 313 449 332 247 363 393 254 228 355 248 291 255 239 181 222 170 374 0 8 0 1 6 7 0 1 8 1 1 5 6 ololololo 6 Oo oo 7 0 5 | 1

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Managerial Finance

Authors: Lawrence J. Gitman, Chad J. Zutter

13th Edition

9780132738729, 136119468, 132738724, 978-0136119463

More Books

Students also viewed these Finance questions