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SCENARIO 14-19
the Marketing Manager for a Nationally Franchised Lawn

question 254

True/False

SCENARIO 14-19
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  Predictor  Coefficients  SE Coef Zp-Value  Intercept 7.85623.82242.05530.0398 Income 0.03040.01332.28970.0220 Lawn Size 1.28040.69711.83680.0662 Deviance 25.3089\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\end{array}\\\\\text { Deviance } \quad 25.3089\end{array}
-Referring to Scenario 14-19, there is not enough evidence to conclude that
LawnSize makes a significant contribution to the model in the presence of Income at a 0.05 level
of significance.


Definitions:

Schemas

Mental structures that an individual uses to organize knowledge and guide cognitive processes and behavior.

Abstract Thought

The ability to think about objects, principles, and ideas that are not physically present, a key component of higher-level cognition.

Conservation

In cognitive development, the understanding that properties such as volume, mass, and number remain the same despite changes in the forms or appearances of objects.

Quantity

A property that exists as magnitude or multitude, referring to the amount or number of a material or immaterial thing.

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