A regression equation that predicts the price of homes in thousands of dollars is = 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.

Question

A regression equation that predicts the price of homes in thousands of dollars is

= 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.

Quizplus · Accepted Answer

The Answer of A regression equation that predicts the price of homes in thousands of dollars is = 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.

A Regression Equation That Predicts the Price of Homes in Thousands