STAT TECH IN BUSINESS & ECON AC
18th Edition
ISBN: 9781264731657
Author: Lind
Publisher: MCG
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Chapter 14, Problem 23CE
Great Plains Distributors, Inc. sells roofing and siding products to home improvement retailers, such as Lowe’s and Home Depot, and commercial contractors. The owner is interested in studying the effects of several variables on the sales volume of fiber-cement siding products.
The company has 26 marketing districts across the United States. In each district, it collected information on the following variables: sales volume (in thousands of dollars), advertising dollars (in thousands), number of active accounts, number of competing brands, and a rating of market potential.
Conduct a multiple
- a. Draw a
scatter diagram comparing sales volume with each of the independent variables. Comment on the results. - b. Develop a
correlation matrix. Do you see any problems? Does it appear there are any redundant independent variables? - c. Develop a regression equation. Conduct the global test. Can we conclude that some of the independent variables are useful in explaining the variation in the dependent variable?
- d. Conduct a test of each of the independent variables. Are there any that should be dropped?
- e. Refine the regression equation so the remaining variables are all significant.
- f. Develop a histogram of the residuals and a normal probability plot. Are there any problems?
- g. Determine the variance inflation factor for each of the independent variables. Are there any problems?
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Spring is a peak time for selling houses. Suppose the data below contains the selling price, number of bathrooms, square footage, and number of bedrooms of 26 homes sold in Ft. Thomas, Kentucky, in spring 2018.
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160,000
170,000
178,000
182,500
195,100
212,500
245,900
250,000
255,000
258,000
267,000
268,000
275,000
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2 1,768
1 1,219
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2 1,196
2 2,128
N W
3
2
1,280
1,596
3.5 2,374
2.5 2,439
2 1,470
2 1,688
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3
3
3
2
3
2
3
3
3
4
3
4
4
295,000
325,000
325,000
328,400
331,000
344,500
365,000
385,000
395,000
399,000
430,000
430,000
454,000
Baths Sq Ft
2.5 1,860
3 2,056
3.5 2,776
2
1,408
1.5 1,972
2.5 1,736
2.5 1,990
2.5 3,640
2.5 1,928
2 2,108
2
2,462
2 2,615
3.5 3,700
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4
4
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Chapter 14 Solutions
STAT TECH IN BUSINESS & ECON AC
Ch. 14 - There are many restaurants in northeastern South...Ch. 14 - Prob. 1ECh. 14 - Thompson Photo Works purchased several new, highly...Ch. 14 - A consulting group was hired by the Human...Ch. 14 - Cellulon, a manufacturer of home insulation, wants...Ch. 14 - Refer to Self-Review 141 on the subject of...Ch. 14 - Prob. 5ECh. 14 - Prob. 6ECh. 14 - Prob. 3SRCh. 14 - Given the following regression output, answer the...
Ch. 14 - The following regression output was obtained from...Ch. 14 - A study by the American Realtors Association...Ch. 14 - The manager of High Point Sofa and Chair, a large...Ch. 14 - Prob. 10ECh. 14 - Prob. 11ECh. 14 - A real estate developer wishes to study the...Ch. 14 - Prob. 13CECh. 14 - Prob. 14CECh. 14 - Prob. 15CECh. 14 - Prob. 16CECh. 14 - The district manager of Jasons, a large discount...Ch. 14 - Suppose that the sales manager of a large...Ch. 14 - The administrator of a new paralegal program at...Ch. 14 - Prob. 20CECh. 14 - Prob. 21CECh. 14 - A regional planner is studying the demographics of...Ch. 14 - Great Plains Distributors, Inc. sells roofing and...Ch. 14 - Prob. 24CECh. 14 - Prob. 25CECh. 14 - Prob. 26CECh. 14 - Prob. 28CECh. 14 - Prob. 29CECh. 14 - The director of special events for Sun City...Ch. 14 - Prob. 31CECh. 14 - Prob. 32CECh. 14 - Prob. 33DACh. 14 - Prob. 34DACh. 14 - Prob. 35DACh. 14 - Prob. 1PCh. 14 - Quick-print firms in a large downtown business...Ch. 14 - The following ANOVA output is given. a. Compute...Ch. 14 - Prob. 1CCh. 14 - Prob. 2CCh. 14 - Prob. 3CCh. 14 - In a scatter diagram, the dependent variable is...Ch. 14 - What level of measurement is required to compute...Ch. 14 - If there is no correlation between two variables,...Ch. 14 - Which of the following values indicates the...Ch. 14 - Under what conditions will the coefficient of...Ch. 14 - Given the following regression equation, = 7 ...Ch. 14 - Given the following regression equation, = 7 ...Ch. 14 - Given the following regression equation, = 7 ...Ch. 14 - Prob. 1.9PTCh. 14 - In a multiple regression equation, what is the...Ch. 14 - Prob. 1.11PTCh. 14 - Prob. 1.12PTCh. 14 - For a dummy variable, such as gender, how many...Ch. 14 - What is the term given to a table that shows all...Ch. 14 - If there is a linear relationship between the...Ch. 14 - Given the following regression analysis output: a....Ch. 14 - Given the following regression analysis output. a....
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