SCENARIO 13-19
the Marketing Manager for a Nationally Franchised Lawn

question 277

Short Answer

SCENARIO 13-19
The marketing manager for a nationally franchised lawn service company would like to study the characteristics that differentiate home owners who do and do not have a lawn service.A random sample of 30 home owners located in a suburban area near a large city was selected; 11 did not have a lawn service (code 0) and 19 had a lawn service (code 1).Additional information available
concerning these 30 home owners includes family income (Income, in thousands of dollars) and lawn size (Lawn Size, in thousands of square feet).
The PHStat output is given below:
Binary Logistic Regression $$\begin{array}{l}\begin{array} { l r r r r } \hline { \text { Predictor } } & \text { Coefficients } & \text { SE Coef } & { Z } & p \text {-Value } \\\hline \text { Intercept } & - 7.8562 & 3.8224 & - 2.0553 & 0.0398 \\\text { Income } & 0.0304 & 0.0133 & 2.2897 & 0.0220 \\\text { Lawn Size } & 1.2804 & 0.6971 & 1.8368 & 0.0662\\\text { Deviance } & 25.3089\end{array}\\\end{array}$$
-Referring to SCENARIO 13-19, what is the estimated probability that a home owner with a family income of $100,000 and a lawn size of 2,000 square feet will purchase a lawn service?

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Definitions:

Corporation

A legal entity that is separate and distinct from its owners, who are shareholders; corporations can own assets, incur liabilities, and conduct business.

Public Share

Equity in a company that is available for trading by the general public on a stock exchange.

Securities Commission

A provincial agency that serves as a watchdog for the stock market.

Provincial Agency

A government entity or organization established at the provincial level to perform a specific function or provide a specific service.