A Researcher Analyzes the Factors That May Influence Amusement Park

question 24

Multiple Choice

A researcher analyzes the factors that may influence amusement park attendance and estimates the following model: Attendance = β₀ + β₁Price + β₂Rides + ε, where Attendance is the daily attendance (in 1,000s) , Price is the gate price (in $) , and Rides is the number of rides at the amusement park. The researcher would like to construct interval estimates for Attendance when Price and Rides equal $85 and 30, respectively. The researcher estimates a modified model where Attendance is the response variable and the explanatory variables are now defined as
Price* = Price - 85 and Rides* = Rides - 30. A portion of the regression results is shown in the accompanying table. According to the modified model, which of the following is a 95% confidence interval for expected Attendance when Price and Rides equal $85 and 30, respectively? (Note that t_0,025,27 = 2.052.)

• A) [12,740, 56,780]
• B) [16,330, 53,450]
• C) [26,080, 42,740]
• D) [28,900, 41,500]

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Definitions:

Carbon Dioxide Retention

A condition in which the lungs are unable to effectively expel carbon dioxide, leading to increased levels in the blood.

Cardiac Output

The volume of blood the heart pumps through the circulatory system in one minute, an important measure of heart function.

Gastric Acid

A highly acidic solution produced by the glands in the stomach, essential for digestion and killing ingested pathogens.

Differential White

A blood test that measures the percentage of each type of white blood cell present in the blood and can reveal conditions such as infections, inflammation, and leukemias.