Regression Paper

Regression Paper

Learning Team A will use a regression test approach to test the null hypothesis of the research using the data sets presented in appendix one. The data studied is from data is from the Real Estate data set (Lind, Marchal, & Wathen, 2008). First the team will develop a research question and formulate a null and alternative hypothesis statement. Next the team will perform the five-step hypothesis test and analyze the results of the test. Last, the team will provide explanation of the test to determine if the hypothesis were accepted or rejected. Learning Team D would like to determine if the number of bedrooms has an effect on the price of the home’s value. The purpose of the research conducted by Team D is to study whether or not the amount of bedrooms in a home is a factor in the price value of a home.

Hypothesis Statement

The meaning of hypothesis is a proposed explanation for an observable phenomenon. Scientists’ generally base hypothesis’s on previous observations that cannot be explained by available scientific theories. Learning Team D will use the Real Estate Data Sets to form a hypothesis statement and conduct the five-step test.

B1 = Price of homes with two or less bedrooms

B2 = Price of homes with three or more bedrooms

H1 Null Hypothesis: Homes with two or less bedrooms equal the same price of homes with three or more bedrooms. μB1 = μB2

Ho Alternative Hypothesis: Homes with two or less bedrooms do not equal the same price of homes with three or more bedrooms. μB1 ≠ μB2

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1. STATING THE RESEARCH QUESTION.

The first step in hypothesis testing is to state the null hypothesis, in this case the null is. μB1 = μB2 and the alternate hypothesis μB1 ≠ μB2. Team’s D research on real estate is on the theory that there is a statistically significant difference in the mean of B1= Price of homes with two less bedrooms over B2 = Price of homes with three or more bedrooms The alternate Hypothesis:...