Develop a regression model to predict the price per person

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Question: Zagat's publishes restaurant ratings for various locations in the U.S.  The Excel file Restaurants contains the Zagat rating for food, décor, service, and the cost per person for a sample of 100 restaurants located in NYC and in a suburb of NYC.  Develop a regression model to predict the price per person, based on a variable that represents the sum of the ratings for food, décor, and service.  HINT: Simple Linear Regression.

a. Assuming a linear cost relationship, what are the regression coefficients, b0 and b1?

b. Predict the cost per person for a restaurant with a summated rating of 50. 

c. What is the coefficient of determination, and what is its meaning?

d. What is the standard error of the estimate?

e. Using the t Test for the correlation coefficient is there evidence of a significant association between the price per person and a restaurants summated rating?

Reference no: EM13579621

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