Take Test BANA 5368 Final Esam Fall 201sFail 201s Page 7 of

Take Test BANA 5368 Final Esam: Fall 201s-Fail 201s Page 7 of QUESTION 3 Suppuse yuar sapervisor has asked you to fit a smole firsi-order mutiple ince regression model relating the amoure of money cnunes roport spending on gifts turing the bodliday season ie. 1)w the s vanablos agr, gender, merital statas, and mosthly incoma Assume that gender-1 if a person in female, and 0 otherwise, and that marinal statas-1 if maried, and Q otheruwise The fitted model is 94 age +37.3gender 892 marial status+0.06\'monthly income What is the estimated mean amount of money spent in the boliday season for a 27 year-old married man who earns $5.832 per month?

Solution

estimated mean = 0.59 + 4*27 + 37.8*0 + 89.2*1 + 0.06*5832 = 547.71