Question: A major publishing company would like to develop an equation that will help it in determining the cost of books that is publishes. It has
A major publishing company would like to develop an equation that will help it in determining the cost of books that is publishes. It has a sample of 207 books that have been recently published. Of the 207 books in the sample, 83 are hard cover and 124 are softcover. Hardcover books obviously are priced at a premium so some adjustment will need to be made. The variables in the data file are as follows and data file is all the way down below:
COST = the cost of producing the book (?)
PAGES = the number of pages in the book (?)
SOFTCOVER = 1 if the book is softcover and 0 if is hardcover (?)
a. Create scatterplot of the COST (Y) vs. PAGES (X) with different symbols for softcover and hardcover books. To do, select Scatterplot... from the Graph menu. Select With Groups and click OK. Input the appropriate variables for Y and X and where it says "Categorical variables for grouping (0-3):" put SOFTCOVER. Then click OK. Include the plot you created (a hand drawn version is not acceptable).
b. Test if there is any difference in the regression lines for softcover and hardcover books. To do, complete the following steps:
i. What is the equation for the population full model? You may write model using words or symbols as long as they correspond to the symbols provided in the problem setup.
ii. What is the equation for the population reduced model? You may write model using words or symbols as long as they correspond to the symbols provided in the problem setup.
iii. State the null and alternative hypotheses that correspond with the test for any difference in the regression lines for softcover and hardcover books.
iv. To compute the test statistic for this hypothesis test, many different values are needed. Fit the full and reduced models described above to obtain the following four values:
r
f
f
v. The test statistic for this hypothesis test is 142.8 and the cutoff value is 3.07. Based on this information, is there any difference between the regression lines for softcover and hardcover books? Explain your answer.
cost pages softcover
14.00 384 1
35.00 152 0
40.00 64 0
24.95 80 1
29.95 224 0
29.95 282 0
12.95 304 1
22.95 256 0
22.00 192 0
12.00 240 1
24.95 250 0
16.95 212 1
21.00 224 0
27.50 240 0
13.50 288 1
24.95 320 0
25.00 304 0
22.95 225 0
14.95 256 1
25.00 256 0
12.95 352 1
18.00 192 0
25.00 320 0
9.99 208 1
16.95 624 1
11.95 144 1
12.00 192 1
22.95 256 0
17.95 192 0
22.95 304 0
12.00 224 1
12.95 400 1
29.95 704 0
12.00 368 1
16.95 688 1
21.95 368 0
22.95 528 0
12.00 304 1
22.95 376 0
21.95 400 0
23.00 352 0
14.95 64 0
23.95 352 0
23.00 384 0
23.95 218 0
21.95 352 0
24.95 352 0
13.95 96 0
23.95 320 0
18.99 280 0
19.99 288 0
25.00 254 0
25.00 288 0
12.00 352 1
14.00 368 1
39.95 352 0
27.95 476 0
29.95 208 0
35.00 560 0
35.00 1200 0
27.50 320 0
27.00 350 0
19.95 256 1
13.00 336 1
30.00 408 0
27.50 256 0
12.95 288 1
14.95 208 0
35.00 352 0
45.00 858 0
16.00 832 1
16.00 825 1
30.00 416 0
13.50 320 1
13.00 288 1
24.95 220 0
24.00 256 0
24.95 176 0
15.00 352 1
22.95 288 0
24.95 336 0
13.50 304 1
25.00 320 0
7.95 144 1
21.95 368 0
25.00 256 0
15.95 636 1
19.95 224 0
30.00 544 0
12.00 256 1
20.00 208 0
12.95 416 1
12.00 320 1
8.95 400 1
21.95 275 0
12.50 272 1
14.95 96 0
13.00 288 1
14.00 240 1
23.95 208 0
23.00 320 0
10.00 80 0
18.00 912 1
11.99 336 1
13.00 256 1
16.00 288 1
17.95 400 1
22.50 224 1
30.00 608 0
12.00 240 1
17.95 192 1
19.95 568 1
25.00 144 1
10.00 128 1
23.95 256 0
15.95 112 0
12.95 320 1
23.00 256 0
25.00 320 0
23.00 240 0
23.00 320 0
22.95 288 0
24.95 352 0
35.00 224 0
25.00 544 0
11.95 224 1
12.95 272 1
14.95 256 1
30.00 176 0
19.95 320 0
22.00 288 0
23.00 288 0
14.00 256 1
10.00 80 1
10.95 416 1
10.95 160 1
19.95 304 0
24.95 450 1
30.00 544 0
19.95 192 0
18.95 288 0
15.00 268 1
23.00 288 0
10.95 200 1
12.95 348 1
22.00 208 0
22.95 224 0
12.95 64 1
9.95 240 1
22.50 256 0
13.95 352 1
7.95 128 1
14.95 240 1
23.00 320 0
20.95 224 0
35.00 240 0
17.95 256 1
11.00 160 1
24.95 496 0
25.00 320 0
15.00 416 1
20.00 176 0
12.50 336 1
22.95 224 0
11.00 128 1
10.00 144 1
7.95 76 1
24.95 96 0
40.00 184 0
40.00 192 0
23.95 160 0
10.00 120 0
24.95 384 0
22.95 304 0
29.95 176 0
15.95 352 1
24.95 384 0
21.95 188 0
11.00 256 1
18.95 144 0
24.95 192 0
21.00 240 0
10.00 144 1
12.95 175 1
19.95 256 0
16.00 204 0
8.95 120 1
12.00 64 1
11.00 192 1
24.95 320 0
13.50 432 1
27.50 608 0
30.00 448 0
15.00 464 1
26.00 304 0
21.95 385 0
22.95 336 0
25.00 432 0
21.95 320 0
17.95 252 0
12.00 240 1
23.00 256 0
17.00 128 0
20.00 240 0
14.00 528 1
23.95 352 0
21.00 192 0
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