Question

In Exercise we found a model for the gross revenue from U.S. movie theatres for 106 recent movies that were rated either R or PG-13. A plot of residuals against predicted revenue shows:
A histogram of the y variable, US Gross shows:
a) What assumptions and/or conditions are violated by this model?
b) What would you recommend doing next to help improve the model?
c) Try a re-expression of US Gross by logarithms and refit the model. Examine the residual plot and comment briefly.


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  • CreatedMay 15, 2015
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