Question: A real estate developer wishes to predict electricity consumption based on atmospheric temperature. He collected data on 30 houses. Let the variable Electricity consumption be


A real estate developer wishes to predict electricity consumption based on atmospheric temperature. He collected data on 30 houses. Let the variable Electricity consumption be the monthly electricity consumption in kilowatts (kw) for a house and Temperature be the monthly average atmospheric temperature in C in the area of the house. Following is the output from a simple linear regression obtained from the collected data: Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Intercept 240.078619 11.14312187 21.54501 5.718-19 217.25297 262.90427 Temperature (C) -5.7269628 0.534087664 -10.7229 2.02E-11 -6.8209918 -4.632934 Which of the following is the correct interpretation for the slope coefficient? Select one: O For each increase of 1.C of temperature, the expected electricity consumption is estimated to decrease by -5.727 kw. O For each increase of 1.C of temperature, the expected electricity consumption is estimated to decrease by 5.727 kw. O For each increase of 1.C of temperature, the expected electricity consumption is estimated to increase by 5.727 kw. O For each increase of 1 kw in expected electricity consumption, the expected temperature is estimated to increase by 5.727 .C. Check
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
