Question
Companies considering the purchase of a computer must first assess their future needs in order to determine the proper equipment. A computer scientist collected data from seven similar company sites so that computer hardware requirements for inventory management could be developed. The data collected is as follows:
| Customer Orders (in thousands) | Add-delete items (in thousands) | CPU time (in hours) |
| 123.5 | 2.108 | 141.5 |
| 146.1 | 9.213 | 168.9 |
| 133.9 | 1.905 | 154.8 |
| 128.5 | 0.815 | 146.5 |
| 151.5 | 1.061 | 172.8 |
| 136.2 | 8.603 | 160.1 |
| 92.0 | 1.125 | 108.5 |
i) Find a linear regression equation that best fit the data.
ii) Estimate the error variance for the regression model obtained in i) above.
Answer :
Word Count : 161
Let CPU time (Y) be the dependent variable, customer orders (X_1) and add–delete items (X_2) the independent variables. Using the normal equations for multiple linear regression based on the seven observations, the required totals are (\sum X_1 = 911.7,; \sum _____ ______ ______ ___ ________ ______.
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Let CPU time (Y) be the dependent variable, customer orders (X_1) and add–delete items (X_2) the independent variables. Using the normal equations for multiple linear regression based on the seven observations, the required totals are (\sum X_1 = 911.7,; \sum _____ ______ ______ ___ ________ ______.
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