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Regression Assignment

a) The regression equation is: Charitable Contributions = -22.5355 + 0.4904 * Income b) For every $1000 increase in income, charitable contributions increase by $49.04 on average c) There is a strong positive correlation (r=0.9459) between income and charitable contributions that is explained 89.47% by the regression model.

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0% found this document useful (0 votes)
43 views2 pages

Regression Assignment

a) The regression equation is: Charitable Contributions = -22.5355 + 0.4904 * Income b) For every $1000 increase in income, charitable contributions increase by $49.04 on average c) There is a strong positive correlation (r=0.9459) between income and charitable contributions that is explained 89.47% by the regression model.

Uploaded by

Sohil Vhora
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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x y xy x^2 y^2 Predicted Error Error^2

Charitable
Income Contribution
76 15 1140 5776 225 14.73538 0.264617 0.070022
57 4 228 3249 16 5.417661 -1.41766 2.009763 50
140 42 5880 19600 1764 46.12139 -4.12139 16.98589
40
97 33 3201 9409 1089 25.03392 7.966082 63.45847
75 5 375 5625 25 14.24498 -9.24498 85.46959 30 y = 0.4904x - 22.536
R² = 0.8947
107 32 3424 11449 1024 29.93798 2.062018 4.251919 20
65 10 650 4225 100 9.340912 0.659088 0.434397
10
77 18 1386 5929 324 15.22579 2.774211 7.696245 Column 1 Column 2
0 Series1
102 28 2856 10404 784 27.48595 0.51405 0.264248 Column 1 1
0 50 100 150 Linear (Series1)
53 4 212 2809 16 3.456035 0.543965 0.295898 Column 2 0.945905 1
TOTAL 849 191 19352 78475 5367 191 0 180.9364

X(avg)= 84.9
Y(avg)= 19.1
SS(xy)= 3136.1 b= 0.49040642
SS(xx)= 6394.9 a= -22.535505
Regression Equation = 0.490406x-22.5355 SS(yy)= 1718.9

SS(xx)*SS(yy) 10992194 std of errors 4.483754


sqrt(SS(xx)*SS(yy)) 3315.4477
r 0.9459054
r^2 0.8947371 X Variable 1 Residual Plot
10
5

Residuals
0
SUMMARY OUTPUT
-5 0 50 100 150
-10
Regression Statistics
Multiple R 0.945905 -15
X Variable 1
R Square 0.894737
Adjusted R Square
0.881579
Standard Error
Observations
4.755739
10
X Variable 1 Residual Plot
10
5
ANOVA

Residuals
0
df SS MS F Significance F
-5 0 50 100 150
Regression 1 1537.964 1537.964 68.00017 3.51E-05
Residual 8 180.9364 22.61705 -10
Total 9 1718.9 -15
X Variable 1

Coefficients
Standard Error t Stat P-value Lower 95% Upper 95%Lower 99.0%Upper 99.0%
Intercept -22.5355 5.268255 -4.2776 0.002696 -34.6841 -10.38689 -40.2125 -4.8584682
X Variable 10.490406 0.05947 8.246222 3.51E-05 0.353267 0.6275455 0.29086 0.68995277
RESIDUAL OUTPUT SOLUTION;

ObservationPredicted Y Residuals
a)Let x=income and y=charitable contributions
1 14.73538 0.264617 n=10
SS(xy)= 3136.1
2 5.417661 -1.41766
SS(XX)=6394.9
3 46.12139 -4.12139
SS(yy)=1718.9
4 25.03392 7.966082
5 14.24498 -9.24498 b) a=-22.5355
6 29.93798 2.062018 b=0.4909
7 9.340912 0.659088 c)a represents the charitable contributions with 0 income. b means that on average, charitable contributions increase by $49.04 for every
8 15.22579 2.774211 $1000 increase in income.
9 27.48595 0.51405
10 3.456035 0.543965 D)r=0.9459 , r^2= 0.8947. Positive corelation
E) Standard deviation of errors = 4.7557

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