Homework-Regression-1

O’Brien ISOM 201 –Homework Regression Fall 2020 Homework –Regression ISOM 201 Question 1. Below is a print out of the Regression data from excel, given below as well. From these two tables answer questions A –E. Please answer the questions in a word document and submit the homework through the Blackboard portal labeled Regression homework Hospit al Numbe r of Beds Admissions (100s) Total Expense (Million s) 1 215 77 57 2 336 160 127 3 520 230 157 4 135 43 24 5 35 9 14 6 210 155 93 7 140 53 45 8 90 6 6 9 410 159 99 10 50 18 12 11 65 16 11 12 42 29 15 13 110 28 21 14 305 98 63

O’Brien ISOM 201 –Homework Regression Fall 2020 SUMMARY OUTPUT Regression Statistics Multiple R 0.987362 R Square 0.974883 Adjusted R Square 0.970317 Standard Error 8.368626 Observations 14 ANOVA df SS MS F ignificance F Regression 2 29901.34 14950.67 213.4776 1.58E-09 Residual 11 770.3729 70.0339 Total 13 30671.71 Coefficients andard Erro t Stat P-value Lower 95%Upper 95% ower 95.0% Upper 95.0% Intercept 0.653892 3.756493 0.17407 0.864973 -7.61409 8.921878 -7.61409 8.921878 Number of Beds 0.023062 0.045154 0.510734 0.619631 -0.07632 0.122446 -0.07632 0.122446 Admissions (100s) 0.622971 0.095007 6.557139 4.1E-05 0.413863 0.832079 0.413863 0.832079 - Residuals A. What is the Coefficient of Determination? What is it value? B. Is this a good model? C. What is the dependent value? What is the independent value(s)? D. Define the regression equation. E. If a hospital has 248 beds and 102 admissions determine predicted the total expense for the hospital. Ans. a. The coefficient of determination is a statistical measure that represents the proportion of the variance in the dependent variable predicted from the independent variables, often denoted as r^2. The value is 0.974 b. This is not a good model. The t-value is not greater than 2, and the p-value is not less than 0.05. c. The dependent value is the number of admissions, and the independent value is the number of beds. d. Y= bX +A  Y= total expense  X= number of beds  B= slope  A= y intercepyy e. For Number of Beds = 248 and Admissions = 102, the predicted total expense is, Total expense = 0.653892 + 0.023062 * 248 + 0.622971 * 102 = 69.91631