PART 3 (10 points)

(Use condo.csv data file) A real estate agent wishes to determine the selling price of residences using the size (square feet) and whether the residence is a condominium or a single- family home.

1. Fit a regression model to predict the selling price for residences and provide the regression equation.
2. Interpret the parameters ₁ and ₂ in the model given in part (a).
3. Fit a new regression model now including the interaction term x1* x2 and provide the regression equation.
4. Describe what including this interaction term accomplishes.
5. Conduct a test of hypothesis to determine if the relationship between the selling price and the square footage is different between condominiums and single-family homes.

sqfeet 1 1500 0 2085 1 1450 3 1 1836 LO 1 1730 1726 0 1 8 2300 0 1650 1 1 1950 A B 1 price condo 2 199700 3 211800 4 197100 5 228400 6 215800 7 190900 8 312200 9 9 313600 10 239000 11 184400 12 200600 13 208000 14 210500 15 233300 16 187200 17 185200 18 284100 19 207200 20 258200 21 203100 0 1545 0 1375 0 1 1825 1650 1960 1360 1 0 0 1200 1 2000 1 1755 1 1850 1630 1