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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
ANOVA
-Referring to Instruction 13-9,which of the following statements is supported by the analysis shown?
Identifiable Net Assets
Assets that can be separately identified and measured apart from the business entity, often relevant in the valuation of companies for acquisition or reporting purposes.
Non-Controlling Interest
The portion of equity in a subsidiary not owned directly or indirectly by the parent company.
Fair Value Enterprise Method
A valuation method where a business is valued based on the present value of its projected future earnings or cash flows, adjusted to their market value.
Consolidated Balance Sheet
A financial statement showing the combined assets, liabilities, and equity of a parent company and its subsidiaries as if they were a single entity.
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