Multiple Choice
A regression equation that predicts the price of homes in thousands of dollars is 
t = 24.6 + 0.055x1 - 3.6x2,where x2 is a dummy variable that represents whether the house in on a busy street or not.Here x2 = 1 means the house is on a busy street and x2 = 0 means it is not.Based on this information,which of the following statements is true?
A) On average,homes that are on busy streets are worth $3600 less than homes that are not on busy streets.
B) On average,homes that are on busy streets are worth $3.6 less than homes that are not on busy streets.
C) On average,homes that are on busy streets are worth $3600 more than homes that are not on busy streets.
D) On average,homes that are on busy streets are worth $3.6 more than homes that are not on busy streets.
Correct Answer:
Verified
Correct Answer:
Verified
Q24: Interaction exists in a multiple regression model
Q39: If the residuals have a constant variance,
Q102: To check out whether the regression assumption
Q110: Standard stepwise regression is a good way
Q131: A decision maker is considering including two
Q143: Golf handicaps are used to allow players
Q144: A major car magazine has recently collected
Q145: A study has recently been conducted by
Q146: In regression model: y = β<sub>0</sub> +
Q153: The following output is for a second-order