Question: Question 1 Consider the multiple linear regression model with 2 predictor variables given by, Yi = 1Xi1 + 2Xi2 + i, iid 2 wherei N(0,

Question 1

Consider the multiple linear regression model with 2 predictor variables given by,

Yi = 1Xi1 + 2Xi2 + i,

iid 2 wherei N(0, ).

  1. (a)Derive the expressions for computing the least square estimates of the model parameters. (10 marks)
  2. (b)Suppose you wish to obtain an interval estimate of the difference = 1 2, derive the variance of the sampling distribution of the point estimate of . (10 marks)

please I need this answer please help me

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