A trucking company desires to predict yearly maintenanceexpense (Y ) for truck using the number of miles driven throughout the year (X1) and age of truck (X2,in years) at the beginning of year. The company has collected the data given in file P11_16.xlsx. Note that each observation corresponds to particular truck.
a. Formulate and determine a multiple regression model by using given data. Interpret each of estimated regression coefficients.
b. Evaluate and interpret standard error of estimate and the coefficient of determination R2 for these data.
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Yearly Maintenance Expense for Randomly Selected Trucks
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Truck
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Maintenance_Expense
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Miles_Driven
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Age_of_Truck
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|
1
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$908.56
|
10,500
|
10
|
|
2
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$751.12
|
9,700
|
7
|
|
3
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$793.55
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9,200
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8
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|
4
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$619.61
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8,300
|
9
|
|
5
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$380.11
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6,500
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5
|
|
6
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$368.72
|
4,500
|
2
|
|
7
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$235.32
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3,500
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2
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|
8
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$174.93
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2,200
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3
|
|
9
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$256.30
|
1,800
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2
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