Can you please show the detail - thank you. The following data give the starting
ID: 3156785 • Letter: C
Question
Can you please show the detail - thank you. The following data give the starting salary for students who recently graduated from a local university and accepted jobs soon after graduation. The starting salary, grade-point average (GPA), and major (business or other) are provided.
Salary $29,500 $46,000 $39,800 $36,500
GPA 3.1 3.5 3.8 2.9
Major Other Business Business Other
Salary $42,000 $31,500 $36,200
GAP 3.4 2.1 2.5
Major Business Other Business
a) Using a computer, develop a regression model that could be used to predict starting salary based on GPA and major.
(b) Use this model to predict the starting salary for a business major with a GPA of 3.0.
(c) What does the model say about the starting salary for a business major compared to a nonbusiness major?
(d) Do you believe this model is useful in predicting the starting salary? Justify your answer, using information provided in the computer output.
Explanation / Answer
(a) Draw the linear regression model Determine the linear model (1) Therefore, the GPA increased by 1 unit, the base salary increased by 3,027 dollars, the base salary increased 6,684 dollars at the major is business and base salary is 24,328 dollars when the GPA is zero and major is others (b) Determine the predicted salary Substitute the value Therefore, predicted salary is (c) If two students have the same GPA but their majors are business and other respectively, then the starting salary the starting salary of the student whose major is business $6,684 more than the one whose major is not business