Explore BrainMass

Explore BrainMass

    Multiple Regression Analysis : An Example

    Not what you're looking for? Search our solutions OR ask your own Custom question.

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Problem:
    The demand for airplane passengers (Y) is a function of a average fare (X1), the fare of the competing airline, and the annual per capital income of the passengers(X3)

    Passenger seat sold Fare of the Fare of the competing Annual Per Capital
    of the airline airline airline Income of passenger
    648 250 250 $105
    336 265 250 102
    378 265 240 103
    333 230 240 105
    112 225 240 100
    137 225 260 96
    109 220 250 93
    98 230 240 95
    60 235 240 95
    83 245 250 97
    91 240 250 99
    105 250 240 102
    76 240 220 105
    92 235 250 108
    113 235 230 110
    102 240 240 109

    Questions:
    1. Find the demand for passenger seat (Y) as a function of the fare of the airline(X1), the fare f the competing airline (X2), and the annual per capital income of passengers (X3).
    2. Graph the actual and the estimated Y and assess the goodness of fit.
    3. State the effects of each of the independent variable on the demand for passengers.
    4. State the significance or non significance of each of the independent variables.
    5. If the fare of the airline increases to $300 (X1=300), the fare of the competing airline is $200 (X2=$200) and the annual income is (X3=$120), find how many tickets will the airline sell?

    © BrainMass Inc. brainmass.com March 4, 2021, 9:50 pm ad1c9bdddf
    https://brainmass.com/statistics/regression-analysis/multiple-regression-analysis-an-example-276363

    Solution Summary

    In the present problem an example for multiple regression analysis has been worked out. The general procedure for implementing multiple regression analysis by using regression analysis tool of M S Excel is provided. Explanations are given, for how to interpret the estimated regression parameters such as the regression coefficients, coefficient of determination etc. The excel sheet in which the example is worked out is also provided as an attachment.

    $2.49

    ADVERTISEMENT