Question

Here is the scatterplot of the variables in Exercise 7 with regression lines added for each kind of movie:
The regression model is:
Dependent variable is: US Gross ($M)
R-squared = 0.3674, Adjusted R-squared: 0.3491 s = 58.24 with 107 - 3 = 104 degrees of freedom
a) Write out the regression model.
b) In this regression, the variable Budget*R Rating is an interaction term. How would you interpret its coefficient?
c) What null hypothesis can we test with the t-ratio for Budget*R Rating?
d) Would you reject that hypothesis at 0.05? What do you conclude?


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  • CreatedMay 15, 2015
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