Reference no: EM13577199

The table below contains average house prices, median income, average monthly rent and percentage of flats that are vacant in a given city.

House price (HP)	Median Income (MI)	Rent (R)	Vacant (V)
90	22	392	10
101	23	402	9
63	24	394	12
89	19	345	15
99	22	406	11
112	25	455	8
82	22	315	23
78	18	330	20
97	24	370	12
86	18	368	16
88	21	335	14
100	20	412	8
99	21	380	10
134	25	442	6
88	20	306	20
77	17	322	23
97	23	357	13
97	22	366	10
116	23	441	8
107	20	422	7
84	19	345	16
77	18	339	15
129	27	444	7
76	18	305	18
95	20	375	11

Answer the following questions using the data in the table

a. Run a linear regression of HP on MI, R and V and obtain a regression summary output.

b. What is the equation of the regression line?

c. Interpret the constant term and the slope coefficients in the context of the model

d. Evaluate the overall fit of the model using the adjusted R²

e. Find the error for predicting house price with median income, rent and vacant of 23, 441 and 8, respectively.