# The accompanying data on sale price (thousands of dollars), size (thousands of sq. ft.), and land-to-building ratio

## Question:

The accompanying data on sale price (thousands of dollars), size (thousands of sq. ft.), and land-to-building ratio for 10 large industrial properties appeared in the paper “Using Multiple Regression Analysis in Real Estate Appraisal” (Appraisal J. 2001: 424–430).

a. Use software to create an estimated multiple regression equation for predicting the sale price of a property from its size and land-to-building ratio.

b. Interpret the estimated regression coefficients in this example.

c. Based on the data, what is the predicted sale price for a 500,000 ft.^{2} industrial property with a land-to-building ratio of 4.0?

## Step by Step Answer:

**Related Book For**

## Modern Mathematical Statistics With Applications

**ISBN:** 9783030551551

3rd Edition

**Authors:** Jay L. Devore, Kenneth N. Berk, Matthew A. Carlton