An operations manager is interested in modeling E(y), the expected

An operations manager is interested in modeling E(y), the expected length of time per month (in hours) that a machine will be shut down for repairs, as a function of the type of machine (001 or 002) and the age of the machine (in years). The manager has proposed the following model:
E(y) = β0 + β1x1 + β2x21 +β3x2
where
x1 = Age of machine
x2 = 1 if machine type 001,0 if machine type 002
The following data were obtained for n = 20 machine breakdowns.
An operations manager is interested in modeling E(y), the expected

a. Use the data (saved in the file) to estimate the parameters of this model.
b. Do these data provide sufficient evidence to conclude that the second-order term (x21) in the model proposed by the operations manager is necessary? Test using a = .05.
c. Test the null hypothesis that β1 = β2 = 0 using a = .10. Interpret the results of the test in the context of the problem.

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