Question

A pure subset contains leaf nodes where cases have contradicting values to the target variable, to enhance the variable case outcomes and allow for further splits.

True or False

TrueFalse

The estimate regression equation for the average cost of widgets is:
^Widgets = 7.22 − 0.2284 Output + 0.2086 Output². Both predictor variables are statistically significant at 5% level, confirming the quadratic effect. What is the predictive average from an output level of 2 million units to 3 million units?

Multiple Choice

• The increase in output units results in a $0.02 decrease in predictive average cost.

• The increase in output units results in a $0.24 increase in predictive average cost.

• The increase in output units results in a $0.81 decrease in predictive average cost.

• The increase in output units results in a $0.81 increase in predictive average cost.

The key distinction between supervised and unsupervised data mining is that the identification of the target variable is identified in supervised data mining.

True or False

TrueFalse

Using a sample of 50, the following regression output is obtained from estimating the linear probability regression model y = β₀ + β₁x + ε. What is the predicted probability when x = 14?

	Coefficients	Standard Error	t Stat	P-value
Intercept	4.03	0.20	1.65	0.0001
X	−0.98	0.02	−4.45	0.0000

Multiple Choice

• 4.42

• 17.75

• 8.34

• 0.72

If SST = 5,000 and SSE = 450, then the coefficient of determination is:

Multiple Choice

• 0.23

• 0.43

• 0.91

• 0.77

Answer 1

y = β0 + β1x + ε.

CoefficientsStandard
Errort StatP-valueIntercept4.030.201.650.0001X−0.980.02−4.450.0000

From the output, y = 4.03 - 0.98 x + e

for x = 14,

y = 4.03 - (0.98*14) = -9.69 (But option not given)

if β1 = +0.98, then