Question

In: Statistics and Probability

Dear Expert I need your perception and answers how to solve this problem Pagliaci Pizza is...

Dear Expert

I need your perception and answers how to solve this problem

Pagliaci Pizza is developing a new frozen pizza product, and it asked a random sample of 30 customers to rate the product quality (x variable). The company also observed whether the customer bought the product at the end (y variable)

Customer Quality Rating Buy or Not (Buy=1, Not buy=0)
1 16 0
2 20 0
3 27 0
4 29 0
5 38 0
6 46 0
7 46 0
8 47 1
9 49 0
10 50 0
11 52 0
12 53 1
13 55 0
14 59 1
15 64 0
16 68 1
17 72 0
18 74 1
19 76 0
20 80 1
21 82 1
22 85 1
23 87 0
24 88 1
25 88 1
26 89 1
27 90 0
28 91 1
29 94 1
30 96

1

a. Write the estimated logistic regression equation relating x to y.

b. Based on the equation in part A), estimate the probability that a customer who gives a score of 90 points will buy the product.

c. Based on the equation in part A), a customer will have a 0.80 or higher probability of buying, what is the value of this score?

Solutions

Expert Solution

16 cases have Y=0; 14 cases have Y=1.

Variable Avg SD   
1 63.7000 23.2496

Iteration History...
-2 Log Likelihood = 41.4554 (Null Model)
-2 Log Likelihood = 39.5305
-2 Log Likelihood = 36.5408
-2 Log Likelihood = 33.6427
-2 Log Likelihood = 31.5231
-2 Log Likelihood = 30.3205
-2 Log Likelihood = 29.8251
-2 Log Likelihood = 29.6966
-2 Log Likelihood = 29.6795
-2 Log Likelihood = 29.6786
-2 Log Likelihood = 29.6786
-2 Log Likelihood = 29.6786 (Converged)

Overall Model Fit...
Chi Square= 11.7768; df=1; p= 0.0006

Coefficients, Standard Errors, Odds Ratios, and 95% Confidence Limits...
Variable Coeff. StdErr p O.R. Low -- High
1 0.0687 0.0248 0.0056 1.0711 1.0203 1.1244
Intercept -4.6551 1.7431 0.0076

Predicted Probability of Outcome, with 95% Confidence Limits...
X Y Prob Low -- High
16.0000 0 0.0278 0.0020 0.2926
20.0000 0 0.0362 0.0031 0.3121
27.0000 0 0.0573 0.0068 0.3489
29.0000 0 0.0652 0.0086 0.3601
38.0000 0 0.1145 0.0230 0.4152
46.0000 0 0.1830 0.0530 0.4726
46.0000 0 0.1830 0.0530 0.4726
47.0000 1 0.1935 0.0586 0.4806
49.0000 0 0.2159 0.0712 0.4970
50.0000 0 0.2277 0.0784 0.5056
52.0000 0 0.2528 0.0944 0.5234
53.0000 1 0.2660 0.1032 0.5328
55.0000 0 0.2936 0.1229 0.5523
59.0000 1 0.3536 0.1691 0.5952
64.0000 0 0.4354 0.2370 0.6569
68.0000 1 0.5037 0.2943 0.7119
72.0000 0 0.5719 0.3494 0.7688
74.0000 1 0.6052 0.3750 0.7965
76.0000 0 0.6375 0.3993 0.8231
80.0000 1 0.6983 0.4434 0.8705
82.0000 1 0.7264 0.4634 0.8909
85.0000 1 0.7654 0.4912 0.9168
87.0000 0 0.7892 0.5085 0.9312
88.0000 1 0.8004 0.5168 0.9376
88.0000 1 0.8004 0.5168 0.9376
89.0000 1 0.8111 0.5249 0.9435
90.0000 0 0.8214 0.5327 0.9489
91.0000 1 0.8313 0.5404 0.9538
94.0000 1 0.8582 0.5625 0.9661
96.0000 1 0.8741 0.5764 0.9726

b) There is a 0.82 probability that a customer who gives a score of 90 points will buy the product.

c) The score is 88 for a 0.80 or higher probability of buying,


Related Solutions

Dear Economic Analyst, I need your expertise in determining how many workers to hire and how...
Dear Economic Analyst, I need your expertise in determining how many workers to hire and how much feed to purchase. The current price of labor is $60 per day, and feed costs $75 per ton. Below is my marginal physical product of both labor and feed. First, my current budget is unknown. Can you tell me the order in which I should purchase labor and feed? This order will provide priority when deciding on my level of inputs. Secondly, although...
I KNOW THOSE ANSWERS BUT I NEED HOW TO SOLVE Q1 ANSWER E(1487) Q B Q...
I KNOW THOSE ANSWERS BUT I NEED HOW TO SOLVE Q1 ANSWER E(1487) Q B Q 1 What is the equilibrium constant for the reaction shown below? glutathione + NADPH + H+ ↔ reduced glutathione + reduced glutathione + NADP+ A. 1.073 B. 1,487 C. 17.4 D. 0.073 E. 7.03 2. Under standard conditions, is the oxidation of NADH by free FAD sufficiently exergonic to drive the synthesis of ATP? no, as oxidation of NADH by FAD only generates –9.65...
I need Urgent on the correct way to solve this, step by step process. The answers...
I need Urgent on the correct way to solve this, step by step process. The answers are 7.62, 7.62,6.92,20% and 7.41. Please HELP!!! Hula Enterprises is considering a new project to produce solar water heaters. The finance manager wishes to find an appropriate risk adjusted discount rate for the project. The (equity) beta of Hot Water, a firm currently producing solar water heaters, is 1.1. Hot Water has a debt to total value ratio of 0.3. The expected return on...
I have the answer for this problem but I need to solve it using Excel's PV...
I have the answer for this problem but I need to solve it using Excel's PV function for both products and I cannot seem to figure it out. What would I insert for each portion of the equation into excel? It has been answered on another question as number 2. http://www.chegg.com/homework-help/questions-and-answers/lou-barlow-divisional-manager-sage-company-opportunity-manufacture-sell-one-two-new-produc-q12342389?trackid=297667da&strackid=464d9914&ii=8
Hi, I am not able to find the correct steps and answers to solve this problem....
Hi, I am not able to find the correct steps and answers to solve this problem. Please help. Thanks! A bank offers your firm a revolving credit arrangement for up to $61 million at an interest rate of 1.48 percent per quarter. The bank also requires you to maintain a compensating balance of 2 percent against the unused portion of the credit line, to be deposited in a noninterest-bearing account. Assume you have a short-term investment account at the bank...
Here is a Problem I need to solve: 5) Write a function to determine is a...
Here is a Problem I need to solve: 5) Write a function to determine is a given word is legal. A word is illegal if it contains no vowels. For this problem, the letter Y is considered to be a legal vowel. Pass in a word to this function and it will determine if the word is legal or not. You can make the following assumptions about the word you a passing to this function. 1) The string being passed...
There is a need to innovative solution to solve complex problems. Explain and enrich your answers...
There is a need to innovative solution to solve complex problems. Explain and enrich your answers by 2 examples from real market.
Dear Experts, Please teach me how to solve the following exercise. Problem 17.3A Job Order Costing:...
Dear Experts, Please teach me how to solve the following exercise. Problem 17.3A Job Order Costing: A Comprehensive Problem Georgia Woods,Inc., manufactures furniture to customers' specifications and uses job order costing. A predetermined overhead rateis usedin applying manufacturing overhead to individualjobs.In Department One, overhead is applied on the basis o machine-hours, and in Department Two, on the basis of directlabor hours. Atthe beginning ofthe current year, management made the following budget estimates to assistin determining the overhead application rate. Department...
Dear Expert. I have been studying about Statistical Process Control. And my professor required me to...
Dear Expert. I have been studying about Statistical Process Control. And my professor required me to collect the data from real manufacturing in Taiwan. I wonder how can I make a plan in Data collection for SPC. This manufacturing product ordered product ( house door, ventilator, window, etc...). The main raw material is steel. I had gone there last week and seen how it work. I already know what kind of machine and part I need to collect. But the...
I was confused on how to obtain the ratios and solve these genetics problems. I need...
I was confused on how to obtain the ratios and solve these genetics problems. I need to know how to do a mono, di, and tri hybrid cross. I know there is 2 ways but if you can pick the easiest/quickest way and explain it to me simply that would be great.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT