Please answer this as soon as possible!! Thanks!!! :D A researcher has developed

Question

Please answer this as soon as possible!! Thanks!!! :D

A researcher has developed the following regression equation....

Exhibit 171. A researcher has developed the following regression equation to predict the prices of luxurious Oceanside condominium units, Price = 40 + 0.15size + 50View where Price = the price of a unit (in $thousands). Size the square footage (in square feet), View a dummy variable taking on 1 for an ocean view unit, and O for a bay view unit Refer to Exhibit 171. What is the predicted price of a bay view unit measuring 1500 square feet? $315.000 O $225,000 O $2,650,000 O $265,000 $315,000o

Explanation / Answer

For bay view: View=0 and it is given that unit is 1500 sq ft

thus answer is price=40+0.15*1500+50*0=265 thousand

thus anwer is D

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