Question:
For a small sample of suburban homes recently sold, the selling price ($), living space (square feet), and suburban area (Sunny Haven, Easy Acres, or Rolling Hills) have been recorded. Given the data shown here, determine the linear regression equation for estimating selling price based on the other variables. For any qualitative variables that are used, be sure to specify the coding strategy employed for each. Comment on the explanatory power of the regression equation and interpret the partial regression coefficients.
Transcribed Image Text:
Home Price Space 2860 2050 2110 2950 1570 1860 2620 2010 2710 2200 Area 167,900 184,800 161,000 160,800 148,200 128,600 145,700 178,500 146,100 146,300 Easy Sunny Rolling Easy Sunny Rolling Rolling Sunny Easy Rolling 10