Cellulon, a manufacturer of home insulation, wants to develop guidelines for builders and consumers on how the thickness of the insulation in the attic of a home and the outdoor temperature affect natural gas consumption. In the laboratory, it varied the insulation thickness and temperature. A few of the findings are:

On the basis of the sample results, the regression equation is:
yˆ = 62.65 – 1.86x1 – 0.52x2
a. How much natural gas can homeowners expect to use per month if they install 6 inches of insulation and the outdoor temperature is 40 degrees F?
b. What effect would installing 7 inches of insulation instead of 6 have on the monthly natural gas consumption (assuming the outdoor temperature remains at 40 degrees F)?
c. Why are the regression coefficients b1 and b2 negative? Is thislogical?

  • CreatedDecember 10, 2014
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