Question

Model 2-include the variable household size to explain credit card amount a. (2pt)Comment on the goodness of fit for Model 2. b. (2pt) Report the statistical significance of the model. Model 2 - Model S ol Agustid IR SOUS 0 25 318 a Predicton Constant Income Houston b. Dependent Variable Cadeandout SidError of the Fabiate 394091 c. (1 pt) Write down the estimated regression equation for Model 2. 31.751 016 Model 2.ANOVA Sum of Suures d Mean Some Repression 10 1 1 1.700ETİ 2.0 40 5404 251 - 270749 a. Predictions (Constant). Thousandt. Hoolie b. Dependent Variable: CodeCardamount d. (2pt) Interpret the intercept for the model. e. (4pt) Interpret the slope coefficients. Moda 2Colants Unstandardized Standardized Coefficients Coeficients B Sewa Beta Con 13040187 656 Household 35620033 2011 4 33.133 3.6 516 Dependent Variable: Codica famount 6.602134 10 733 24 50056 f (3pt) Report the statistical significance of the coefficients.

Answer 1

Answer (a) R^2 - 0.909 which is more than hence, it is good 0.80 fit. credit card amount = 1304.905 +356.296 * House hold +33.133 * Income (d) when income to and when household Size =0 Then on average credit card amount = 1304.905 | ce) slope co efficients when we increase house hold size by 1 unit, credit card amount increases by 356.296 units on average Similarly when we increase income by 1 unit credit card increase by 33.133 units on average

17) Assuming level of Significance = 0.05 when p-value Loos the coefficients are significant here household size is significant. Income is not significant. (9) As the coefficient of householdsize is significant it is important for explaining the credit card amount in the model. THE END