Use Computer Software to Find the Best Regression Equation to Explain

question 63

Multiple Choice

Use computer software to find the best regression equation to explain the variation in the dependent variable, Y, in terms of the independent variables, X1, X2, X3
- $\begin{array}{ccc}\mathrm{Y} & \mathrm{X}_{1} & \mathrm{X}_{2} \\15 & 1.2 & 16 \\15 & 1.2 & 16 \\17 & 1.0 & 16 \\6 & 0.8 & 9 \\1 & 0.1 & 1\\8 & 0.8 & 8 \\10 & 0.8 & 10 \\17 & 1.0 & 16 \\15 & 1.2 & 15 \\11 & 0.7 & 9 \\18 & 1.4 & 18 \\16 & 1.0 & 15 \\10 & 0.8 & 9 \\7 & 0.5 & 5 \\18 & 1.1 & 16\end{array}$
CORRELATION COEFFICIENT
$\begin{array}{l}\mathrm{Y} / \mathrm{X}_{1}=.886 \\\mathrm{Y} / \mathrm{X}_{2}=.965\end{array}$
COEFFICIENTS OF DETERMINATION
$\begin{array}{c}\mathrm{Y} / \mathrm{X}_{2}=.932 \\Y / \mathrm{X}_{2}, \mathrm{X}_{1}=.943\end{array}$

• A) \(\hat { Y } = .42 + .99 \mathrm { X } _ { 2 }\)
• B) \(\hat { Y } = 1.38 - 5.53 X _ { 1 } + 1.33 X _ { 2 }\)
• C) \(\hat { \mathrm { Y } } = - .42 + 14.07 \mathrm { X } _ { 1 }\)
• D) \(\hat { Y } = 1.25 - 1.55 X _ { 1 } + 5.79 X _ { 2 }\)

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Definitions:

Place and Condition

Terms used to refer to the physical location and state of goods in a transaction, affecting their valuation and delivery responsibilities.

Gross Profit

The difference between sales revenue and the cost of goods sold, indicating the efficiency of a company in managing its production and labor costs.

Inventory Valuation

A method used to calculate the cost of goods sold and the end inventory balance, involving techniques such as FIFO, LIFO, and weighted average cost.

Consignor

A person or company that sends goods to a consignee to be sold or returned, retaining ownership until sale.