A healthcare executive is using regression to predict total revenues.She has decided to include both patient length of stay and insurance type in her model.Insurance type can be grouped into three categories: Government-Funded, Private-Pay, and Other.Her model is A)Y = b₀. B)Y = b₀ + b₁X₁. C)Y = b₀ + b₁ X₁ + b₂X₂. D)Y = b₀ + b₁ X₁ + b₂ X₂ + b₃X₃.

Question

Quizplus · Accepted Answer

The model includes patient length of stay and three types of insurance, which means it needs four variables (including the intercept). Therefore, D is the best choice as it includes all four variables.

A Healthcare Executive Is Using Regression to Predict Total Revenues