TABLE 14-19 The Marketing Manager for a Nationally Franchised Lawn Service Company

question 206

Short Answer

TABLE 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; 15 did not have a lawn service (code 0) and 15 had a lawn service (code 1). Additional information available concerning these 30 home owners includes family income (Income, in thousands of dollars), lawn size (Lawn Size, in thousands of square feet), attitude toward outdoor recreational activities (Atitude 0 = unfavorable, 1 = favorable), number of teenagers in the household (Teenager), and age of the head of the household (Age).
The Minitab output is given below:
-Referring to Table 14-19, what is the estimated probability that a 48-year-old home owner with a family income of $100,000, a lawn size of 5,000 square feet, a positive attitude toward outdoor recreation, and two teenagers in the household will purchase a lawn service?

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Definitions:

Regression Model

A mathematical model that describes the relationship between a dependent variable and one or more independent variables.

Multiple Regression

A statistical technique used to model and analyze the relationship between a dependent variable and two or more independent variables.

Independent Variables

Variables in an experiment or regression model that are manipulated or categorized to determine their effect on dependent variables.

Correlation

A statistical measure that indicates the extent to which two or more variables fluctuate together, implying a possible relationship but not causation.