Real Estate Builder a Real Estate Builder Wishes to Determine

question 67

Essay

Real Estate Builder A real estate builder wishes to determine how house size is influenced by family income, family size, and education of the head of household. House size is measured in hundreds of square feet, income is measured in thousands of dollars, and education is measured in years. A partial computer output is shown below. SUMMARY OUTPUT ANOVA {Real Estate Builder Narrative} Which of the following values for the level of significance is the smallest for which all explanatory variables are significant individually: a = .01, .05, .10, or .15?

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Definitions:

Variable Costing

An accounting method in which variable manufacturing costs are included in product costs, while fixed manufacturing overhead is treated as an expense of the current period.

Net Operating Income

A financial metric that calculates a company's income after operating expenses are deducted, but before interest and taxes are subtracted.

Direct Material Cost

The expense of fundamental materials directly utilized in the production of a product.

Product Cost

The total amount of costs directly and indirectly involved in manufacturing a product or delivering a service.