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TABLE 15-5
What are the factors that determine the acceleration time (in sec.) from 0 to 60 miles per hour of a car? Data on the following variables for 171 different vehicle models were collected:
Accel Time: Acceleration time in sec.
Cargo Vol: Cargo volume in cu. ft.
HP: Horsepower
MPG: Miles per gallon
SUV: 1 if the vehicle model is an SUV with Coupe as the base when SUV and Sedan are both 0
Sedan: 1 if the vehicle model is a sedan with Coupe as the base when SUV and Sedan are both 0
The regression results using acceleration time as the dependent variable and the remaining variables as the independent variables are presented below.
ANOVA
The various residual plots are as shown below.
The coefficient of partial determination (
) of each of the 5 predictors are, respectively, 0.0380, 0.4376, 0.0248, 0.0188, and 0.0312.
The coefficient of multiple determination for the regression model using each of the 5 variables as the dependent variable and all other X variables as independent variables ( ) are, respectively, 0.7461, 0.5676, 0.6764, 0.8582, 0.6632.
-Referring to Table 15-5, the 0 to 60 miles per hour acceleration time of an SUV is predicted to be 0.1252 seconds higher than that of a sedan.
Dishonored
Refers to a check or promissory note that has been refused by the bank on which it was drawn because of insufficient funds or other reasons.
Interest
The charge for the privilege of borrowing money, typically expressed as an annual percentage rate.
Percentage of Sales Method
A financial forecasting model that predicts future sales based on historical sales data.
Matching Principle
An accounting concept that dictates expenses should be recorded in the same period as the revenues they help to generate, ensuring accurate financial reporting.
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