Instruction 13-9
a Weight-Loss Clinic Wants to Use Regression Analysis

question 246

Multiple Choice

Instruction 13-9
A weight-loss clinic wants to use regression analysis to build a model for weight-loss of a client (measured in kilograms) .Two variables thought to effect weight-loss are client's length of time on the weight loss program and time of session.These variables are described below:
Y = Weight-loss (in kilograms)
X₁ = Length of time in weight-loss program (in months)
X₂ = 1 if morning session,0 if not
X₃ = 1 if afternoon session,0 if not (Base level = evening session)
Data for 12 clients on a weight-loss program at the clinic were collected and used to fit the interaction model:
Y = β0 + β₁X₁ + β₂X₂ + β₃X₃ + β₄X₁X₂ + β₅X₁X₃ + ε
Partial output from Microsoft Excel follows:
Regression Statistics
$\begin{array} { l l } \text { Multiple R } & 0.73514 \\ \text { R Square } & 0.540438 \\ \text { Adjusted R Square } & 0.157469 \\ \text { Standard Error } & 12.4147 \\ \text { Observations } & 12 \end{array}$
ANOVA
$\begin{array} { c c c c c } F = 5.41118 & \text { Significance } F = 0.040201 & & \\ & & & & \\ \text { Intercept } & \text { Coeff } & \text { StdError } & t \text { Stat } & P \text {-value } \\ \text { Length } \left( X _ { 1 } \right) & 0.089744 & 14.127 & 0.0060 & 0.9951 \\ \text { Morn Ses } \left( X _ { 2 } \right) & 6.22538 & 2.43473 & 2.54956 & 0.0479 \\ \text { Aft Ses } \left( X _ { 3 } \right) & 2.217272 & 22.1416 & 0.100141 & 0.9235 \\ \text { Length*Morn Ses } & 11.8233 & 3.1545 & 3.558901 & 0.0165 \\ \text { Length*Aft Ses } & 0.77058 & 3.562 & 0.216334 & 0.8359 \\ & - 0.54147 & 3.35988 & - 0.161158 & 0.8773 \end{array}$
-Referring to Instruction 13-9,in terms of the ?'s in the model,give the mean change in weight-loss (Y) for every 1 month increase in time in the program (X₁) when attending the morning session.

• A)?₁ + ?₄
• B)?₁ + ?₅
• C)?₁
• D)?₄ + ?₅

Determine the book value of fixed assets and analyze changes over time.

Understand the concept and methods of depreciation, amortization, and depletion.

Journalize entries for the acquisition, depreciation, amortization, and disposal of assets.

Calculate the gain or loss on the sale or disposal of assets.

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Definitions:

Long-Run Supply Curve

As it applies to macroeconomics, a supply curve for which price, but not real output, changes when the demand curves shifts; a vertical supply curve that implies fully flexible prices.

Perfectly Elastic

Describes a situation in which the quantity demanded or supplied changes infinitely with any change in price.

Pure Competition

A market structure characterized by a large number of buyers and sellers dealing in perfectly substitutable goods or services.

Market Entry

Refers to the process or strategy employed by an organization to start selling its products or services in a new market or industry segment.