Beachcomber Ltd in a local car dealership that sells used and new vehicles. The manager of the company wants to know how different variables affect the sales of his vehicles. A random sample of yearly data was taken with the view to testing the model: SALES=a+BAGE+YMIL+8ENG ) Where SALES= amount that a vehicle is sold for($000's), AGE = age of the vehicle, MIL= the total mileage of the vehicle at the point of sale and ENG = the size of the engine. The sample of data was processed using MINITAB and the following is an extract of the output obtained:

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Question 4
Beachcomber Ltd in a local car dealership that sells used and new vehicles. The manager of the
company wants to know how different variables affect the sales of his vehicles. A random sample of
yearly data was taken with the view to testing the model:
SALES=a+BAGE+YMIL+&ENG
Where SÄLES= amount that a vehícle is sold for($000's), AGE = age of the vehicle, MIL= the total
mileage of the vehicle at the point of sale and ENG= the size of the engine. The sample of data was
processed using MINITAB and the following is an extract of the output obtained:
The regression equation is *****
Coef
StDev
t-ratio
p-value
Predict
or
Constan
1.7586
0.2525
6.9648
0.0000
AGE
0.2124
0.3175
0.5042
**
MIL
-0.7527
0.3586
-2.0991
7.7664
0.0000
***
ENG
4.8124
Analysis of Variance
DF
MS
Source
3
413.1291
138.709
****
0.00
Regressi
7
on
50
457.7607
2.2888
Error
Total
53
a) What is dependent and independent variables?
b) Fully write out the regression equation
c) Fill in the missing values *', '**', '***'and *****
Transcribed Image Text:Question 4 Beachcomber Ltd in a local car dealership that sells used and new vehicles. The manager of the company wants to know how different variables affect the sales of his vehicles. A random sample of yearly data was taken with the view to testing the model: SALES=a+BAGE+YMIL+&ENG Where SÄLES= amount that a vehícle is sold for($000's), AGE = age of the vehicle, MIL= the total mileage of the vehicle at the point of sale and ENG= the size of the engine. The sample of data was processed using MINITAB and the following is an extract of the output obtained: The regression equation is ***** Coef StDev t-ratio p-value Predict or Constan 1.7586 0.2525 6.9648 0.0000 AGE 0.2124 0.3175 0.5042 ** MIL -0.7527 0.3586 -2.0991 7.7664 0.0000 *** ENG 4.8124 Analysis of Variance DF MS Source 3 413.1291 138.709 **** 0.00 Regressi 7 on 50 457.7607 2.2888 Error Total 53 a) What is dependent and independent variables? b) Fully write out the regression equation c) Fill in the missing values *', '**', '***'and *****
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