Use = 0.05 unless told otherwise.

--Everything should be r-code base.

--data set is built-in in r code. Just type in LifeCycleSavings.

--DATA ALREADY EXIST IN R. PLEASE JUST TYPE IN LifeCycleSavings in R.

--DATA IS NOT MISSING

--ANSWER for E and F please

2. We want to build a multiple regression model to predict sr (the Savings Ratio) in the LifeCycleSavings dataset (see ?LifeCycleSavings for more background info).

a. Build a model that uses all the other variables in the data frame as predictors, including all their two-way interactions (Ill call this the full model). Using an -test, does it appear that at least one of the predictors is significant/useful?

c. Use the backwards stepwise procedure to select a reduced (smaller) model from the full model. Which predictors are included in this reduced model?

e. Conduct a partial -test to compare the reduced model to the full model. Does it appear that we lost anything of value by removing those predictors?

f. In the reduced model, there should be one predictor that looks very insignificant based on its -test. Which one is it? And why do you think the stepwise procedure decided to keep it in the model? [Take your best guess on the second part there; we can discuss this idea more.]

***Everything should be in r-code base. Specific explanation with code is needed. thanks in advance.