Author Question: In a contingency analysis the expected values are based on the assumption that the two variables are ... (Read 42 times)

saliriagwu · **on:** Jun 24, 2018

In a contingency analysis the expected values are based on the assumption that the two variables are independent of each other.

Indicate whether the statement is true or false

Question 2

A regression equation that predicts the price of homes in thousands of dollars is y = 24.6 + 0.055x1 - 3.6x2, where x2 is a dummy variable that represents whether the house is on a busy street or not.

Here x2 = 1 means the house is on a busy street and x2 = 0 means it is not. From this we can conclude that on average homes that are on busy streets are worth 3600 more than homes that are not on busy streets. Indicate whether the statement is true or false