# Question: Many companies manufacture products that are at least partially produced

Many companies manufacture products that are at least partially produced using chemicals (e.g., paint, gasoline, and steel). In many cases, the quality of the finished product is a function of the temperature and pressure at which the chemical reactions take place. Suppose that a particular manufacturer wants to model the quality (Y) of a product as a function of the temperature (X1) and the pressure (X2) at which it is produced. The file P10_39.xlsx contains data obtained from a carefully designed experiment involving these variables. Note that the assigned quality score can range from a minimum of 0 to a maximum of 100 for each manufactured product.

a. Estimate a multiple regression equation that includes the two given explanatory variables.

Does the estimated equation fit the data well?

b. Add an interaction term between temperature and pressure and run the regression again. Does the inclusion of the interaction term improve the model’s goodness of fit?

c. Interpret each of the estimated coefficients in the two equations. How are they different? How do you interpret the coefficient for the interaction term in the second equation?

a. Estimate a multiple regression equation that includes the two given explanatory variables.

Does the estimated equation fit the data well?

b. Add an interaction term between temperature and pressure and run the regression again. Does the inclusion of the interaction term improve the model’s goodness of fit?

c. Interpret each of the estimated coefficients in the two equations. How are they different? How do you interpret the coefficient for the interaction term in the second equation?

## Relevant Questions

A power company located in southern Alabama wants to predict the peak power load (i.e., the maximum amount of power that must be generated each day to meet demand) as a function of the daily high temperature (X). A random ...The beta of a stock is found by running a regression with the monthly return on a market index as the explanatory variable and the monthly return on the stock as the dependent variable. The beta of the stock is then the ...Repeat the previous problem with the basketball data in the file P03_56.xlsx. a. Rearrange the data so that there are four long columns: Team, Year, Salary, and Wins. There should be 6*30 values for each. b. Create a scatter ...In the world of computer science, Moore’s law is famous. Although there are various versions of this law, they all say something to the effect that computing power doubles every two years. Several researchers estimated ...The Wilhoit Company has observed that there is a linear relationship between indirect labor expense and direct labor hours. Data for direct labor hours and indirect labor expense for 18 months are given in the file ...Post your question