4. The Consumer Reports Restaurant Customer Satisfaction Survey is based upon 148,599 visits to full-service restaurant chains (Consumer Reports website, February 11, 2009). Assume the following data are representative of the results reported. The variable type indicates whether the restaurant is an Italian restaurant or a seafood/steakhouse. Price indicates the average amount paid per person for dinner and drinks, minus the tip. Score reflects diners’ overall satisfaction, with higher values indicating greater overall satisfaction. A score of 80 can be interpreted as very satisfied. Restaurant Type Price ($) Score Bertucci's Italian 16 77 Black Angus Steakhouse Seafood/Steakhouse 24 79 Bonefish Grill Seafood/Steakhouse 26 85 Bravo! Cucina Italiana Italian 18 84 Buca di Beppo Italian 17 81 Bugaboo Creek Steak House Seafood/Steakhouse 18 77 Carrabba's Italian Grill Italian 23 86 Charlie Brown's Steakhouse Seafood/Steakhouse 17 75 Il Fornaio Italian 28 83 Joe's Crab Shack Seafood/Steakhouse 15 71 Johnny Carino's Italian Italian 17 81 Lone Star Steakhouse & Saloon Seafood/Steakhouse 17 76 LongHorn Steakhouse Seafood/Steakhouse 19 81 Maggiano's Little Italy Italian 22 83 McGrath's Fish House Seafood/Steakhouse 16 81 Olive Garden Italian 19 81 Outback Steakhouse Seafood/Steakhouse 20 80 Red Lobster Seafood/Steakhouse 18 78 Romano's Macaroni Grill Italian 18 82 The Old Spaghetti Factory Italian 12 79 Uno Chicago Grill Italian 16 76 a. Develop the estimated regression equation to show how overall customer satisfaction is related to the independent variable average meal price. b. At the 0.05 level of significance, test whether the estimated regression equation developed in part (a) indicates a significant relationship between overall customer satisfaction and average meal price. c. Develop a dummy variable that will account for the type of restaurant (Italian or seafood/steakhouse).

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4. The Consumer Reports Restaurant Customer Satisfaction Survey is based upon 148,599 visits to full-service restaurant chains (Consumer Reports website, February 11, 2009). Assume the following data are representative of the results reported. The variable type indicates whether the restaurant is an Italian restaurant or a seafood/steakhouse. Price indicates the average amount paid per person for dinner and drinks, minus the tip. Score reflects diners’ overall satisfaction, with higher values indicating greater overall satisfaction. A score of 80 can be interpreted as very satisfied.

Restaurant

Type

Price ($)

Score

Bertucci's

Italian

16

77

Black Angus Steakhouse

Seafood/Steakhouse

24

79

Bonefish Grill

Seafood/Steakhouse

26

85

Bravo! Cucina Italiana

Italian

18

84

Buca di Beppo

Italian

17

81

Bugaboo Creek Steak House

Seafood/Steakhouse

18

77

Carrabba's Italian Grill

Italian

23

86

Charlie Brown's Steakhouse

Seafood/Steakhouse

17

75

Il Fornaio

Italian

28

83

Joe's Crab Shack

Seafood/Steakhouse

15

71

Johnny Carino's Italian

Italian

17

81

Lone Star Steakhouse & Saloon

Seafood/Steakhouse

17

76

LongHorn Steakhouse

Seafood/Steakhouse

19

81

Maggiano's Little Italy

Italian

22

83

McGrath's Fish House

Seafood/Steakhouse

16

81

Olive Garden

Italian

19

81

Outback Steakhouse

Seafood/Steakhouse

20

80

Red Lobster

Seafood/Steakhouse

18

78

Romano's Macaroni Grill

Italian

18

82

The Old Spaghetti Factory

Italian

12

79

Uno Chicago Grill

Italian

16

76

a. Develop the estimated regression equation to show how overall customer satisfaction is related to the independent variable average meal price.

b. At the 0.05 level of significance, test whether the estimated regression equation developed in part (a) indicates a significant relationship between overall customer satisfaction and average meal price.

c. Develop a dummy variable that will account for the type of restaurant (Italian or seafood/steakhouse).

 

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