# Question: Refer to the previous exercise a Set up indicator variables to

Refer to the previous exercise.

a. Set up indicator variables to represent the three service centers.

b. The prediction equation is = 7.1 + 0.5x1 + 0.7x2. Show how the terms in this equation relate to the sample means of 7.6 for San Jose, 7.8 for Toronto, and 7.1 for Bangalore.

Previous exercise

Exercise 14.5 showed an ANOVA for comparing mean customer satisfaction scores for three service centers. The sample means on a scale of 0 to 10 were 7.60 in San Jose, 7.80 in Toronto, and 7.10 in Bangalore. Each sample size = 100, MS error = 0.47, and the F test statistic = 27.6 has P-value < 0.001.

a. Set up indicator variables to represent the three service centers.

b. The prediction equation is = 7.1 + 0.5x1 + 0.7x2. Show how the terms in this equation relate to the sample means of 7.6 for San Jose, 7.8 for Toronto, and 7.1 for Bangalore.

Previous exercise

Exercise 14.5 showed an ANOVA for comparing mean customer satisfaction scores for three service centers. The sample means on a scale of 0 to 10 were 7.60 in San Jose, 7.80 in Toronto, and 7.10 in Bangalore. Each sample size = 100, MS error = 0.47, and the F test statistic = 27.6 has P-value < 0.001.

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