Using the output below calculate the predicted turnover rate

Using the output below, calculate the predicted turnover rate for a company having a trust index score of 70 and an average annual bonus of $6500.

Dependent Variable is Turnover Rate

A) 2.4%

B) 4.2%

C) 1.9%

D) 3.5%

Solution

y-hat = 12.1005 + (-0.07149)*70 + (-0.0007216)*6500 = 2.4058

A) 2.4%