Mathematics, 10.05.2021 16:10 jayjay5246

Suppose I desire to predict the price of a new home. I use the following variables to help predict the price: Quantitative Variables: Size of home (x1),
Age of house (x2)

Qualitative Variables:
• Neighborhood (Valrico, Brandon, and Plant City - modeled by the two dummy variables x3 and x4)
• Gated Community or Not (Yes or No - modeled by the dummy variable x5)

Suppose after all model building, the final model ended up being:
E(Y) = βo + β1x1 + β2x^2_1 + β3x5

Or, if you cannot read the greek letters in the formula above:

E(Y)= bo + b1X1 + b2x^2_1 + b3X5

a. Would the lines/curves in this model be parallel or non-parallel in nature?
b. How many lines or curves would be represented by this model [Choose ]

Answers: 2

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Suppose I desire to predict the price of a new home. I use the following variables to help predict t...

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