Instruction 13 ANOVA Note: Adj R Square = Adjusted R Square; Std

question 9

Multiple Choice

Instruction 13.4
A real estate builder wishes to determine how house size (House) is influenced by family income (Income) , family size (Size) and education of the head of household (School) . House size is measured in hundreds of square metres, income is measured in thousands of dollars and education is in years. The builder randomly selected 50 families and ran the multiple regression. Microsoft Excel output is provided below:
OUTPUT
SUMMARY
Regression Statistics
$\begin{array} { l l } \text { Multiple R } & 0.865 \\ \text { R Square } & 0.748 \\ \text { Adj. R Square } & 0.726 \\ \text { Std. Error } & 5.195 \\ \text { Observations } & 50 \end{array}$
ANOVA
$\begin{array} { l l l l l l } & d f & \text { SS } & \text { MS } & F & \text { Signif F} \\ \text { Regression } & & 3605.7736 & 901.4434 & & 0.0001 \\ \text { Residual } & & 1214.2264 & 26.9828 & & \\ \text { Total } & 49 & 4820.0000 & & & \\ & & & & & \\ & \text { Coeff } & \text { StdError } & t \text { Stat } & p \text { value } & \\ \text { Intercept } & - 1.6335 & 5.8078 & - 0.281 & 0.7798 & \\ \text { Income } & 0.4485 & 0.1137 & 3.9545 & 0.0003 & \\ \text { Size } & 4.2615 & 0.8062 & 5.286 & 0.0001 & \\ \text { School } & - 0.6517 & 0.4319 & - 1.509 & 0.1383 & \end{array}$ Note: Adj. R Square = Adjusted R Square; Std. Error = Standard Error
-Referring to Instruction 13.4,what is the predicted house size (in hundreds of square metres) for an individual earning an annual income of $40,000,having a family size of 4 and going to school a total of 13 years?

• A) 15.15
• B) 53.87
• C) 11.43
• D) 24.88

---

Definitions:

Correctly Punctuated

Writing that uses punctuation marks appropriately to ensure clarity and readability of the text.

Lawn Mower

A machine using one or more revolving blades to cut a grass surface to an even height.

Saving $30

The act of conserving or setting aside 30 dollars for future use, emphasizing the importance of financial management and thriftiness.

Correctly Punctuated

Written or typed material that accurately uses punctuation marks to clarify meaning and indicate pauses or stops.