# The following model was used to relate E(y) to a single qualitative variable with four levels: E(y)

## Question:

E(y) = Î²0 + Î²1x1 + Î²2x2 + Î²3x3

where

This model was fit to n = 30 data points, and the following result was obtained:

= 10.2 - 4x1 + 12x2 + 2x3

a. Use the least squares prediction equation to find the estimate of E(y) for each level of the qualitative independent variable.

b. Specify the null and alternative hypotheses you would use to test whether E(y) is the same for all four levels of the independent variable.

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**Related Book For**

## Statistics For Business And Economics

**ISBN:** 9780321826237

12th Edition

**Authors:** James T. McClave, P. George Benson, Terry T Sincich