TABLE 14-16 What Are the Factors That Determine the Acceleration Time (In

question 328

True/False

TABLE 14-16
What are the factors that determine the acceleration time (in sec.) from 0 to 60 miles per hour of a car? Data on the following variables for 171 different vehicle models were collected:
Accel Time: Acceleration time in sec.
Cargo Vol: Cargo volume in cu. ft.
HP: Horsepower
MPG: Miles per gallon
SUV: 1 if the vehicle model is an SUV with Coupe as the base when SUV and Sedan are both 0
Sedan: 1 if the vehicle model is a sedan with Coupe as the base when SUV and Sedan are both 0
The regression results using acceleration time as the dependent variable and the remaining variables as the independent variables are presented below.

The various residual plots are as shown below.






-Referring to 14-16, there is enough evidence to conclude that MPG makes a significant contribution to the regression model in the presence of the other independent variables at a 5% level of significance.

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Lease Payments

Periodic payments made by a lessee to a lessor for the use of an asset, like equipment or real estate, over a specified lease term.

CCA Class

Categories used in Canadian tax law to determine the depreciation rate for different types of business assets.

Corporate Tax Rate

The tax rate that companies are charged on their profits by the government.

Break-Even Lease Payment

The lease payment at which the cost of leasing equals the benefits received, with no net loss or gain from entering into the lease.