Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The manager of a used car dealership wants to estimate the selling price ($000) from the odometer reading (000 kilometres), the age of the car
The manager of a used car dealership wants to estimate the selling price ($000) from the odometer reading (000 kilometres), the age of the car (years) and the number of cylinders the car has. He gathered a random sample and used EXCEL to create the following multiple linear regression output. SUMMARY OUTPUT Regression Statistics Multiple R 0.94 R Square 0.88 Adjusted R Square 0.81 Standard Error 11.33 Observations 9 ANOVA of SS MS Significance F Regression 3 4686.46 1562.15 12.17 0.01 Residual 5 641.54 128.31 Total 5328.00 Coefficients itandard Error t Stat P-value Lower 95% Upper 95%% Intercept 31.70 15.50 2.04 0.10 -8.16 71.55 Odometer reading -0.17 0.06 -2.59 0.06 -0.33 0.00 Age -0.57 0.06 -9.39 0.00 -0.35 -0.70 Cylinders 5.62 2.39 2.35 0.07 -0.53 11.78 a) Interpret the coefficient of cylinders. b) Give the 95% confidence interval for the coefficient of cylinders. c) Test whether there is a significant positive linear relationship between the selling price of a used car and the number of cylinders . Use a = 1%
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started