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L. CreditPlus (Savings and loans) has been trying to gain a foothold in the sout

ID: 2958258 • Letter: L

Question

L. CreditPlus (Savings and loans) has been trying to gain a foothold in the southern United states. Initial plans are to open several branches throughout that region in the next 5 years. In deciding whether to go ahead with the expansion, the board of directors is trying to determine whether the expanding number of Saving and loans offices nationwide has lead to an increase or decrease in overall profitability. One of the board members has recently read a research paper relating the overall profit margin of savings and loan companies (y) to their net revenues in that year (X1 in millions dollars) and the number of branch offices (X2). The data that were presented in the article are shown below and in the “CreditPlus data” worksheet.

pmargin revenue S&L
0.75 3.92 7298
0.71 3.61 6855
0.66 3.32 6636
0.61 3.07 6506
0.7 3.06 6450
0.72 3.11 6402
0.77 3.21 6368
0.74 3.26 6340
0.9 3.42 6349
0.82 3.42 6352
0.75 3.45 6361
0.77 3.58 6369
0.78 3.66 6546
0.84 3.78 6672
0.79 3.82 6890
0.7 3.97 7115
0.68 4.07 7327
0.72 4.25 7546
0.55 4.41 7931
0.63 4.49 8097
0.56 4.7 8468
0.41 4.58 8717
0.51 4.69 8991
0.47 4.71 9179
0.32 4.78 9318

L.1 Determine the relationship between each independent variable versus the dependant variable of this dataset
L.2 Build a multiple regression model. Do the relevant tests.

Explanation / Answer

Allah kolaylik versin.