TABLE 14-10
You Worked as an Intern at We

question 111

Short Answer

TABLE 14-10
You worked as an intern at We Always Win Car Insurance Company last summer. You notice that individual car insurance premiums depend very much on the age of the individual, the number of traffic tickets received by the individual, and the population density of the city in which the individual lives. You performed a regression analysis in EXCEL and obtained the following information:
Regression Analysis
$\begin{array}{lr}\hline\text {Regression Statistics } \\\hline\text { Multiple R} & 0.63 \\\text {R Square }& 0.40 \\\text {Adjusted R Square} & 0.23 \\\text {Standard Error }& 50.00 \\\text {Observations} & 15.00 \\\hline\end{array}$

ANOVA
$\begin{array}{lccccc}\hline & \text { d f} & \text {SS} & \text {MS} & \text {F } & \text {Significance F } \\\hline \text {Regression} & 3 & & 5994.24 & 2.40 & 0.12 \\\text {Residual }& 11 & 27496.82 & & & \\\text {Total }& 45479.54 & & & \\\hline\end{array}$

$\begin{array}{lccrrrr}\hline & \text {oefficients}&\text { Standard Error }& \text { t Stat} &\text { p-value }& \text {Lower 99.0\% }& \text {Upper 99.0 \% } \\\hline\text { Intercept} & 123.80 & 48.71 & 2.54 & 0.03 & -27.47 & 275.07 \\\text {AGE }& -0.82 & 0.87 & -0.95 & 0.36 & -3.51 & 1.87 \\\text {TICKETS}& 21.25 & 10.66 & 1.99 & 0.07 & -11.86 & 54.37 \\\text {DENSITY} & -3.14 & 6.46 & -0.49 & 0.64 & -23.19 & 16.91 \\\hline\end{array}$

-Referring to Table 14-10, the 99% confidence interval for the change in average insurance premiums of a person who has become 1 year older (i.e., the slope coefficient for AGE) is______

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Team Communication

The exchange of information, ideas, and feedback between members of a professional team to ensure effective cooperation and outcome.

Time Management

The practice of organizing and planning how to divide one's time between specific activities efficiently.

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Measurements of the body's most basic functions, including temperature, pulse, respiration rate, and blood pressure.

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