Question: A bank developed a model for predicting the average checking and savings account balance as balance = - 15,999 + 308 x age +1,203 x

A bank developed a model for predicting the

A bank developed a model for predicting the average checking and savings account balance as balance = - 15,999 + 308 x age +1,203 x years education +0.144 x household wealth. a. Explain how to interpret the numbers in this model. b. Suppose that a customer is 30 years old, is a college graduate (so that years education = 16), and has household wealth of $150,000. What is the predicted bank balance? a. The number - 15.999 The number 308 The number 1,203 The number 0.144 means that the average person spends $15,999 per year. means that the average person's account balance increases by $15,999 each year. means that the average person has an account balance of $15,999. does not have a meaningful interpretation. b. The predicted bank bal (Simplify your answer.) The number 308 The number 1,20 The number 0.14 b. The predicted t (Simplify your ans means that the average account balance increases by $308 for each year increase in education. means that the average account balance decreases by $308 for each year increase in education. means that the average account balance decreases by $308 for each year increase in age. does not have a meaningful interpretation. means that the average account balance increases by $308 for each year increase in age. The number 1,203 The number 0.144 b. The predicted ba (Simplify your answ means that the average account balance increases by $1,203 for each year increase in education. means that the average account balance increases by $1,203 for each year increase in age. does not have a meaningful interpretation. means that the average account balance decreases by $1,203 for each year increase in education. means that the average account balance decreases by $1,203 for each year increase in age. The number 0.144 b. The predicted ba (Simplify your answ means that the average account balance increases by $0.144 for each $1 increase in household wealth. does not have a meaningful interpretation. means that the average account balance increases by 0.144% for each $1 increase in household wealth. means that the average account balance decreases by 0.144% for each $1 increase in household wealth. means that the average account balance decreases by $0.144 for each $1 increase in household wealth

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