Online clothing purchases an online clothing retailer, Ask an Expert

Statistics

Online clothing purchases. An online clothing retailer examined their transactional database to see if total yearly Purchases ($) were related to customers' Incomes ($). (You may assume that the assumptions and conditions for re- gression are met.)

The least squares linear regression is:

Purchases = - 31.6 + 0.012 Income.

a) Interpret the intercept in the linear model.

b) Interpret the slope in the linear model.

c) If a customer has an Income of $20,000, what is his predicted total yearly Purchases?

d) This customer's yearly Purchases were actually $100. What is the residual using this linear model? Did the model provide an underestimate or overestimate for this customer?

View complete question

Statistics and Probability, Statistics

Category:- Statistics and Probability
Reference No.:- M91724598

Have any Question?Write your Review or question?

Related Questions in Statistics and Probability

Suppose you perform a multiple regression to predict crime

Suppose you perform a multiple regression to predict crime rate in a state and includes as indicators of predictions the homeownership rate divorce rate and the personal bankruptcy. Explain how to conduct a test of hypot ...

If an urn1 contains 6purle balls and 4red balls and urn2

If an Urn1 contains 6purle balls and 4red balls. And Urn2 contains 4purple balls and 6 red balls. Urn3 contains 4purple balls and 5red balls. If one of the urns is selected at random and a ball is drawn, what is the prob ...

A business analyst in the washington dc area looked at the

A business analyst in the Washington, D.C. area looked at the following Christmas 2016 and 2017 toy sales in Metro D.C. Six toy stores were were contacted and shared the following information where x is 2016 sales and y ...

Which level of risk considers sources of danger or

Which level of risk considers sources of danger or uncertainties that have a direct and model-wide impact?

42 credit card holders are selected at random for each

42 credit card holders are selected at random. For each, their current credit card balance is recorded. The average for these 42 people is = $600. Assume that the current balance of all credit card holders follows a norm ...

A random sample ofnbsp19nbspcollegenbspmens basketball

A random sample of 19 college? men's basketball games during the last season had an average attendance of 5,046 with a sample standard deviation of 1,753. a. Construct a 99?% confidence interval to estimate the average ...

1 define organizational communication2 what interesting

1. Define organizational communication 2. What interesting about the subject of organizational communication

Out ofnbsp350nbspapplicants for a jobnbsp158nbspare female

Out of 350 applicants for a job, 158 are female and 66 are female and have a graduate degree. Step 1 of 2: What is the probability that a randomly chosen applicant has a graduate degree, given that they are female? Expr ...

Letnbspnmnbspv denote the normal random variable with

Let N ( m , v ) denote the normal random variable with mean m and variance v . (a) If X is a Standard Normal variable, what is the distribution of the random variable 4 X - 1? (b) If X ~ N (3,1) and Y ~ ...

An electronics store receives a shipment of 37 graphing

An electronics store receives a shipment of 37 graphing calculators, including 5 that are defective. Eight calculators are chosen at random to be sent to a local high school. How many selections contain 3 defective?

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Statistics and Probability Expert