The Commercial Division Of A Real Estate Firm Is Conducting A Regression Analysis Of The Relationship Between X Annual 1 (108.19 KiB) Viewed 35 times
The commercial division of a real estate firm is conducting a regression analysis of the relationship between x, annual gross rents (in thousands of dollars), and y, selling price (in thousands of dollars) for apartment buildings. Data were collected on several properties recently sold and the following computer output was obtained. Analysis of Variance SOURCE Regression Error Total Predictor Constant X 1.3628 (c) What is the value of X Regression Equation Y = 20.07.21 X (a) How many apartment buildings were in the sample? 9 (b) Write the estimated regression equation. ŷ 20+ 7.21x DF Adj SS 1 41587.3 7 8 51984.1 Ho: Po = 0 Ha: Po 0 Hoi Bo #0 H₂: Po = 0 20.000 7.210 Ho: B₁ * 0 H₂: P₁ = 0 Coef SE Coef 3.2213 1.3626 Ho: P₁ = 0 Ha: B₁ * 0 ? (d) Use the F statistic to test the significance of the relationship at a 0.05 level of significance. State the null and alternative hypotheses. Ho: B₁ ≥ 0 Ha: P₁ <0 50₁ T-Value 6.21 5.29 Find the value of the test statistic. (Round your answer to two decimal places.) 27.9979
Find the p-value. (Round your answer to three decimal places.) p-value = 0.000 State your conclusion. Do not reject Ho. We conclude that the relationship between selling price (in thousands of dollars) and annual gross rents (in thousands of dollars) is significant. O Reject Ho. We cannot conclude that the relationship between selling price (in thousands of dollars) and annual gross rents (in thousands of dollars) is significant. O Do not reject Ho. We cannot conclude that the relationship between selling price (in thousands of dollars) and annual gross rents (in thousands of dollars) is significant. Reject Ho. We conclude that the relationship between selling price (in thousands of dollars) and annual gross rents (in thousands of dollars) is significant. (e) Predict the selling price (in thousands of dollars) of an apartment building with gross annual rents of $65,000. $ thousand
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