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Statistics
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Business Statistics in Practice Study Set 1
Quiz 12: Multiple Regression and Model Building
Path 4
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Question 181
Essay
A multiple linear regression analysis involving 45 observations resulted in the following least squares prediction equation:
y
^
=
.
408
+
1.3387
x
1
+
2.1
x
2
\hat { y } = .408 + 1.3387 x _ { 1 } + 2.1 x _ { 2 }
y
^
=
.408
+
1.3387
x
1
+
2.1
x
2
. The SSE for the above model is 49. Addition of two other independent variables to the model,resulted in the following multiple linear regression equation:
y
^
=
1.2
+
3
x
1
+
12
x
2
+
4
x
3
+
8
x
4
\hat { y } = 1.2 + 3 x _ { 1 } + 12 x _ { 2 } + 4 x _ { 3 } + 8 x _ { 4 }
y
^
=
1.2
+
3
x
1
+
12
x
2
+
4
x
3
+
8
x
4
. The latter model's SSE is 40. -Determine the degrees of freedom regression (explained variation),degrees of freedom error (unexplained variation),and total degrees of freedom for the model with two independent variables.
Question 182
Essay
The analyst performing the study wants to determine if at least one of the two new independent variables makes a significant contribution to the multiple regression model.State the appropriate null and alternative hypotheses.