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Evaluate the model using standart error and r2

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Reference no: EM131970292

The data show the capital value and annual rental value of 96 domestic properties in Auckland in 1991 (actual data was changed for this question). The aim was to explore their relationship in the hope of being able to predict capital value from rental value. Assume normal distribution for both variables.

a) Form the regression model

b) Evaluate the model using standart error and R2

c) Testing the linear relationship between variables

d) interpret the ANOVA table from the output.

e) Find the rental value for a new house with a capital value of 172500.

f) Find the rental value for a new house with a capital value of 575250.

Capital 62000 68000 75500 75500 76500 77500 80500 81500 81500 85500 90500 90500 90500 94500 94500 95500 102500 104500 106500 110500 115500 115500 120500 121500 124500 125500 125500 126500 127500 130500 130500 135500 135500 135500 135500 140500 140500 140500 140500 145500 145500 148500 151500 155500 163500 165500 165500 165500 170500 170500 170500 170500 170500 174500 175500 178500 189500 190500 191500 194500 195500 200500 200500 200500 200500 200500 200500 200500 200500 208500 210500 214500 225500 225500 231500 240500 240500 240500 240500 240500 241500 245000 250500 262500 270500 270500 275500 289500 295500 300500 300500 303500 304500 310500 315500 325500

Rental 6906 7114 5242 7530 6906 4826 5242 6906 5034 7322 6490 6490 4826 8986 5450 8154 9818 8154 6906 7322 6074 8154 11690 12314 8778 8154 8750 6490 9194 10026 7946 8570 7530 7738 8986 9402 9610 9818 11066 8570 11482 8570 8154 7738 11274 8778 9402 13562 8750 12938 8986 9818 11482 10650 9402 12106 12522 8570 12314 11482 11274 10858 10250 12522 9610 8570 13562 10650 12730 10650 11482 8778 10650 12730 13146 11898 11898 12314 11274 10442 9402 11482 12750 10442 12730 13146 13562 11898 11482 12730 13146 12522 12522 12730 13146 12730

Reference no: EM131970292

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