WEInsurU is attempting to predict how long customers will live based on how long
ID: 3253231 • Letter: W
Question
WEInsurU is attempting to predict how long customers will live based on how long their parents and grandparents have lived. Here is the results of the excel analysis.
A
B
C
D
E
F
1
SUMMARY OUTPUT
2
3
Regression Statistics
4
Multiple R
0.8608
5
R Square
0.7411
6
Adjusted R Square
0.7301
7
Standard Error
2.66
8
Observations
100
9
10
ANOVA
11
df
SS
MS
F
Significance F
12
Regression
4
1930
482.38
67.97
0.00000
13
Residual
95
674
7.10
14
Total
99
2604
15
16
Coefficients
Standard Error
t Stat
P-Value
17
Intercept
3.24
5.42
0.60
0.5512
18
Mother
0.451
0.0545
8.27
0.0000
19
Father
0.411
0.0498
8.26
0.0000
20
Gmother(s)
0.0166
0.0661
0.25
0.8028
21
Gfather(s)
0.0869
0.0657
1.32
0.1890
a. What is the regression equation?
b. What does the significance level of 0.00000 for F mean?
c. Why is the adjusted R-square lower than the R-square? Explain.
d. Which, if any, of the coefficients are statistically significant? How do you know?
e. If an individual’s mother lived to be 86, their father lived to be 73, and grandmothers averaged 77 and the grandfathers lived to be 68 when they died. How long would you expect this individual to live?
A
B
C
D
E
F
1
SUMMARY OUTPUT
2
3
Regression Statistics
4
Multiple R
0.8608
5
R Square
0.7411
6
Adjusted R Square
0.7301
7
Standard Error
2.66
8
Observations
100
9
10
ANOVA
11
df
SS
MS
F
Significance F
12
Regression
4
1930
482.38
67.97
0.00000
13
Residual
95
674
7.10
14
Total
99
2604
15
16
Coefficients
Standard Error
t Stat
P-Value
17
Intercept
3.24
5.42
0.60
0.5512
18
Mother
0.451
0.0545
8.27
0.0000
19
Father
0.411
0.0498
8.26
0.0000
20
Gmother(s)
0.0166
0.0661
0.25
0.8028
21
Gfather(s)
0.0869
0.0657
1.32
0.1890
Explanation / Answer
a) Regression equation is - Individual's life = 3.24 + 0.451Mother + 0.411Father + 0.0166Gmother(s) + 0.0869Gfather(s)
b) Significance level F = 0.0000 means that regression model has significant correlation between dependent and indepenent variables.
C) Adjusted R-square = 0.7301 . That means 73% of data of response variable Individual's life is explained by the independent variables i.e by Mother, Father, Gmother(s), Gfather(s) .
d) Mother and Father variable are significant because its p-value is very less and almost equal to zero
e) Mother's age = 86 , Father's age = 73 , Gmother(s) = 77 , Gfather(s) = 68
Individual's life = 3.24 + 0.451*86 + 0.411*73 + 0.017*77 + 0.087*68
= 79
Thus we expect individual's life to be 79 years.
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.