Question
You are provided a file that contains data on 25 individuals who have different preferences regarding the type of beer that they prefer to consume.
You are provided a file that contains data on 25 individuals who have different preferences regarding the type of beer that they prefer to consume. The manufacturer believes that there are demographic variables that are useful in discriminating between the groups (based on preference). These variables of interest are gender, marital status, annual income level, and age.
Use logistic regression to classify the consumers on the basis of these "discriminatory" variables. How successful is it at separating the beer consumers into groups based on preference? Which variables appear to be most important in the classifications?
You will need to install the 'Solver' Add-in in Excel.
Individual | Gender | Married | Income | Age | Beer Preference |
1 | 1 | 0 | $37,779 | 45 | Regular |
2 | 0 | 1 | $44,955 | 53 | Regular |
3 | 1 | 0 | $36,896 | 48 | Regular |
4 | 1 | 1 | $70,981 | 45 | Light |
5 | 1 | 0 | $38,990 | 36 | Regular |
6 | 1 | 1 | $51,126 | 41 | Light |
7 | 0 | 1 | $45,133 | 51 | Light |
8 | 1 | 1 | $36,316 | 41 | Light |
9 | 1 | 1 | $40,955 | 69 | Regular |
10 | 0 | 1 | $27,280 | 55 | Regular |
11 | 0 | 1 | $33,027 | 51 | Regular |
12 | 1 | 1 | $63,555 | 62 | Light |
13 | 1 | 1 | $64,709 | 70 | Regular |
14 | 1 | 0 | $38,447 | 37 | Light |
15 | 1 | 1 | $35,282 | 59 | Regular |
16 | 0 | 1 | $43,468 | 52 | Regular |
17 | 1 | 0 | $53,768 | 34 | Light |
18 | 0 | 1 | $52,875 | 71 | Light |
19 | 1 | 0 | $29,728 | 41 | Regular |
20 | 0 | 0 | $30,587 | 36 | Regular |
21 | 0 | 1 | $49,585 | 34 | Light |
22 | 1 | 1 | $48,957 | 33 | Light |
23 | 1 | 1 | $32,739 | 50 | Regular |
24 | 1 | 0 | $41,057 | 40 | Light |
25 | 1 | 0 | $31,916 | 43 | Regular |
Please solve using Excel Solver and show the steps please. Thank you
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