Question: need answer with calculation for (a) and (b) Question 7 (15 pts). Suppose we are modeling house price as depending on house size, the number

need answer with calculation for (a) and (b)

need answer with calculation for (a) and (b) Question 7 (15 pts).

Question 7 (15 pts). Suppose we are modeling house price as depending on house size, the number of bedrooms in the house and the number of bathrooms in the house. Price is measured in thousands of dollars and size is measured in thousands of square feet. Suppose our model is: P:10+25*size+10*nbed+5*nbath+e, e~N(0,25). (a) Suppose you know that a house has size =1.1, nbed = 2, and nbath =1. What is the distribution of its price? Give the 95% predictive interval for the price of the house. (b) Suppose you know that a house has size 22.2, nbed = 4, and nbath =2. Give the 95% predictive interval for the price of the house

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