Thompson Photo Works purchased several new, highly sophisticated processing machines. The production department needed some guidance with respect to qualifications needed by an operator. Is age a factor? Is the length of service as an operator (in years) important? In order to explore further the factors needed to estimate performance on the new processing machines, four variables were listed:
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X1 = Length of time an employee was in the industry.
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X2 = Mechanical aptitude test score.
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X3 = Prior on-the-job rating.
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X4 = Age.
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Performance on the new machine is designated Y.
Thirty employees were selected at random. Data were collected for each, and their performances on the new machines were recorded. A few results are:
|
Name
|
Performance
on New
Machine,
Y
|
Length of
Time in
Industry,
X1
|
Mechanical
Aptitude
Score,
X2
|
Prior
On-the-Job
Performance
X3
|
Age,
X4
|
|
Mike Miraglia
|
114
|
6
|
390
|
119
|
36
|
|
Sue Trythall
|
118
|
9
|
384
|
127
|
28
|
|
The equation is: = 10.3 + 0.4X1 + 0.686X2 + 0.112X3 + 0.001X4
(a) What is this equation called?
(b) How many dependent and independent variables are there?
(c) What is the number 0.112 called?
(d) As age increases by one year, how much does estimated performance on the new machine increase?
(e) Carl Knox applied for a job at Photo Works. He has been in the business for 5 years, and scored 270 on the mechanical aptitude test. Carl's prior on-the-job performance rating is 100, and he is 54 years old. Estimate Carl's performance on the new machine.