The estimated regression equation for a model ivolving two independent variables and 10 ob

bobbie71G

bobbie71G

Answered question

2021-08-19

The estimated regression equation for a model ivolving two independent variables and 10 observations follows.
y^=33.2566+0.7625x1+0.2507x2
a) Interpret b1 and b2 in this estimated regression equation (to 4 decimals).
b) Estimate y when x1=180 and x2=310 (to 3 decimals)

Answer & Explanation

Mayme

Mayme

Skilled2021-08-20Added 103 answers

Step 1
a) Interpretation of b1:
The coefficient or slope of x1 in the regression model is 0.7625
The interpretation is that the value of y increases by 0.7625 units for one unit increases in x1 provided the effect of x2 is constant.
Interpretation of b2:
The coefficient or slope of x1 in the regression model is 0.2507
The interpretation is that the value of y increases by 0.2507 units for one unit increases in x2 provided the effect of x1 is constant.
Step 2
b) Consider the equation y^=33.2566+0.7625x1+0.2507x2
Substitute x1=180 and x2=310 in y^
y^=33.2566+0.7625(180)+0.2507(310)
=33.2566+137.25+77.717
=248.2236
Thus, the value is 248.2236.

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