Question

xAssignments: MGMT-2340-002 Homework 14 Home I myUVu ← → C 을 https://newconnect.mheducation.com/flow/connect.html Homework 14 6 Saved Help Save & Exit Submit Check my work 13 The accompanying table shows a portion of a data set that refers to the property taxes owed by a homeowner (in S) and the size of the home (in square feet) in an affluent suburb 30 miles outside New York City. points Size 2,458 2,451 Taxes 21,956 17,319 eBook 29,292 2,824 References a. Estimate the sample regression equation that enables us to predict property taxes on the basis of the size of the home. (Round your answers to 2 decimel places.) b. Interpret the slope coefficient. As Property Taxes increase by 1 dollar, the size of the house increases by 6.97 ft As Size increases by 1 square foot, the property taxes are predicted to increase by $6.97 c. Predict the property taxes for a 1,500-square-foot home. (Round coefficient estimates to at least 4 decimal places and final answer to 2 decimal places. KPrev 13 of 20Next > 3:28 PM ② ^ " 兵佪40 Search the web and Windows 4/20/2019 xAssignments: MGMT-2340-002 Homework 14 Home I myUVu ← → C 을 https://newconnect.mheducation.com/flow/connect.html Homework 14 6 Saved Help Save & Exit Submit Check my work 13 Size 2,458 2,451 Taxes 21,956 17,319 29,292 2,824 points a. Estimate the sample regression equation that enables us to predict property taxes on the basis of the size of the home. (Round your eBook answers to 2 decimal places.) Taze8 = b. Interpret the slope coefficient. References As Property Taxes increase by 1 dollar, the size of the house increases by 6.97 ft As Size increases by 1 square foot, the property taxes are predicted to increase by $6.97 c. Predict the property taxes for a 1,500-square-foot home. (Round coefficient estimates to at least 4 decimal places and final answer to 2 decimal places.) Tares KPrev 13 of 20Next > 3:28 PM ② ^ " 兵佪40 Search the web and Windows 4/20/2019 Ch14 031 V10 Data File Excel Bailey Misbach RI - 0 × AutoSave on File Home Insert Page Layout Formulast Review View Help Tell me what you want to do Share Comments Σ AutoSum . A 11A A Wrap Text. Calibri General Fill Conditional Format as Cell Formatting Table Styles Insert Delete Format Sort & Find & Ideas Filter Select ミ 트園Merge & Certer . $ .% , 넒48 Editing Clipboard Font Number Ideas 2458 21956 17319 18287 15679 2458 2451 1901 1036 2577 2133 1955 2002 1341 33609 15182 16732 18253 16027 15126 36017 31096 10 12 3103 3375 14415 18 19 25307 16154 29292 21 Property Taxes Sheet2 Sheet3 + 100% 3:28 PM ② ^ " 兵佪40 Search the web and Windows 4/20/2019

Answer 1

Date: 21/04/2019 Answer a) The regression equation of taxes (y) on size (r) is, By using Excel software, find regression equation with help of following steps 1) Import the data. 2) Select Data Analysis from Data menu. 3) Select Regression and click Ok. 4)Input Y Range and Input X range. 5) Click Ok. Coefficients Standard Error t Stat P-value Intercept 6089.171106 3846.394722 1.583085342 0.130814 Size 6.9698272641.355141219 5.143247926 6.82E-05 From the Excel output, the regression equation of taxes (y) on size (x) is, 6089.176.97 x

b) Interpretation ofslop -6.97 . For each unit increase in size, the mean taxes is estimated to increases 6.97. c) The predicted property tax fora 1500-square-foot-home is, -6089.17 +6.97 x1500 - 16543.91 The predicted property tax for a 1500-square-foot-home is 16543.91