10.3 Sales of Riding Mowers. A company that manufactures riding mowers wants to identify the best...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
10.3 Sales of Riding Mowers. A company that manufactures riding mowers wants to identify the best sales prospects for an intensive sales campaign. In particular, the man- ufacturer is interested in classifying households as prospective owners or nonowners on the basis of Income (in $1000s) and Lot Size (in 1000 ft2). The marketing expert looked at a random sample of 24 households, given in the file Riding Mowers.cov. Use all the data to fit a logistic regression of ownership on the two predictors. a. What percentage of households in the study were owners of a riding mower? b. Create a scatter plot of Income vs. Lot Size using color or symbol to distinguish owners from nonowners. From the scatter plot, which class seems to have a higher average income, owners or nonowners? c. Among nonowners, what is the percentage of households classified correctly? d. To increase the percentage of correctly classified nonowners, should the cutoff probability be increased or decreased? e. What are the odds that a household with a $60K income and a lot size of 20,000 ft2 is an owner? f. What is the classification of a household with a $60K income and a lot size of 20,000 ft2? Use cutoff=0.5. g. What is the minimum income that a household with 16,000 ft2 lot size should have before it is classified as an owner? 10.3 Sales of Riding Mowers. A company that manufactures riding mowers wants to identify the best sales prospects for an intensive sales campaign. In particular, the man- ufacturer is interested in classifying households as prospective owners or nonowners on the basis of Income (in $1000s) and Lot Size (in 1000 ft2). The marketing expert looked at a random sample of 24 households, given in the file Riding Mowers.cov. Use all the data to fit a logistic regression of ownership on the two predictors. a. What percentage of households in the study were owners of a riding mower? b. Create a scatter plot of Income vs. Lot Size using color or symbol to distinguish owners from nonowners. From the scatter plot, which class seems to have a higher average income, owners or nonowners? c. Among nonowners, what is the percentage of households classified correctly? d. To increase the percentage of correctly classified nonowners, should the cutoff probability be increased or decreased? e. What are the odds that a household with a $60K income and a lot size of 20,000 ft2 is an owner? f. What is the classification of a household with a $60K income and a lot size of 20,000 ft2? Use cutoff=0.5. g. What is the minimum income that a household with 16,000 ft2 lot size should have before it is classified as an owner?
Expert Answer:
Answer rating: 100% (QA)
a What percentage of households in the study were owners of a riding mower There are 12 out of 24 records with the ownership equal to owner Therefore ... View the full answer
Related Book For
An introduction to management science quantitative approaches to decision making
ISBN: 978-1111532222
13th edition
Authors: David Anderson, Dennis Sweeney, Thomas Williams, Jeffrey Cam
Posted Date:
Students also viewed these accounting questions
-
A company's manufacturing process has been experiencing quality issues, leading to an average of 12 defects per 500 units produced. Using Six Sigma methodologies, the company aims to improve and...
-
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
-
A company that manufactures recreational pedal boats has approached Mike Cichanowski to ask if he would be interested in using Current Designs rotomold expertise and equipment to produce some of the...
-
The distance between the K+ and Cl ions in KCl is 2.80 1010 m. Calculate the energy required to separate the two ions to an infinite distance apart, assuming them to be point charges initially at...
-
Suppose you are asked to estimate the volume of a football. You measure and find that a football is 28 cm long. You use a piece of string and measure the circumference at its widest point to be 53...
-
A company is considering two alternative machines with different net cash flows and salvage values. Present value amounts are calculated using Excel and the results follow. a. Compute the net present...
-
How do you define structural modeling in an object-oriented approach?
-
We wish to estimate the value of Portal Inc. under alternative assumptions about the firm's performance. a. Using the discounted cash-flow (DCF) approach to valuation and the follow ing assumptions,...
-
The production function is Y (K, L) = K 1/3 L 2/3. The savings rate is 25%(.25), the depreciation rate is 1% (0.1). What is the law of motion?
-
Show that if G is a CFG in Chomsky normal form, then for any string w L(G) of length n 1, exactly 2n 1 steps are required for any derivation of w.
-
In the following study N= 2000 visitors to the Canadian War Museum were asked their opinion of the Museum. Their opinion fell into one of three categories (A. Did not like the museum, B. Indifferent,...
-
How are system life cycle and system development methodology related?
-
In the disclosure of capitalized costs relating to oil and gas producing activities, which cost categories should not be included? a. Mineral interests in properties are not included. b. Support...
-
Explain why having a standardized system development process is important to an organization.
-
Which of the following are not included in the reported changes in proved oil and gas reserves in the disclosure of proved oil and gas reserve information? a. Changes due to improved recovery are not...
-
Who are the main participants in the scope definition? What are their goals in the scope definition?
-
what is advanced encryption standard AES.
-
Vectors are drawn from the center of a regular n-sided polygon in the plane to the vertices of the polygon. Show that the sum of the vectors is zero.
-
Air pollution control specialists in southern California monitor the amount of ozone, carbon dioxide, and nitrogen dioxide in the air on an hourly basis. The hourly time series data exhibit...
-
RMC, Inc., is a small firm that produces a variety of chemical products. In a particular production process, three raw materials are blended (mixed together) to produce two products: a fuel additive...
-
Clark and Julie Anderson are interested in purchasing a new boat and have limited their choice to one of three boats manufactured by Sea Ray, Inc.: the 220 Bowrider the 230 Overnighter, and the 240...
-
Describe how partial and circular reasoning can be helpful or harmful in resolving ethical dilemmas.
-
Describe the various legal risks for nurses.
-
Describe the various roles of advanced practice nurses.
Study smarter with the SolutionInn App