Exhibit 13-5
Below You Are Given a Partial Minitab Output

question 61

Multiple Choice

Exhibit 13-5
Below you are given a partial Minitab output based on a sample of 25 observations.
$\begin{array}{lcc}&\text { Coefficient }&\text { Standard Error }\\\text { Constant } & 145.321 & 48.682 \\\mathrm{X}_{1} & 25.625 & 9.150 \\\mathrm{X}_{2} & -5.720 & 3.575 \\\mathrm{X}_{3} & 0.823 & 0.183\end{array}$
-Refer to Exhibit 13-5. The estimated regression equation is

• A) Y = ?? + ??X1 + ?2X2 + ?3X3 + ?
• B) EY) = ?? + ??X1 + ?2X2 + ?3X3
• C) =145.321+25.625X1 - 5.720X2+0.823X3
• D) =48.682+9.15X1+3.575X2+1.183X3

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Definitions:

Renovation Cost

Expenses incurred in the process of improving or updating existing structures or facilities.

After-Tax Discount Rate

The rate of return on an investment after accounting for taxes, used in net present value calculations to determine the value of future cash flows.

Income Tax Rate

The rate at which income is taxed for individuals or corporations.

Straight-Line Depreciation

A method of allocating the cost of a tangible asset over its useful life in an equal yearly amount.