Now consider the following model for the same problem, the same real estate data in question 1. i.,e


Question: Now consider the following model for the same problem, the same real estate data in question 1.

i.,e. y = ?0+??1x1 +?? 2x2 +? 3 \[x_{2}^{2}\] +? 4 x1 x2 +?.

a) Solve the model. By setting ?=0.05, is the model appropriate? Are the predictors significant?

b) Would your decision be different on buying the house that has 2000 square feet, a rating of 8, and the price of $178,000, if you used this model? Explain.

c) Is this model better than the model in question 1? Answer by conducting nested (partial) F tests.

Price: $2.99
Solution: The solution consists of 2 pages
Solution Format: Word Document

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