Question

A data table contains two variables. One is the 30-year fixed mortgage rate; it is measured as the best rate offered by a mortgage broker over the last 90 days. The second variable holds a column of integers, 1-40, that identify different brokers. The 40 largest mortgage brokers are included in the data table. The data will be used to understand lending practices of all mortgage brokers in the U.S. Please choose the correct answer from the brackets for the questions below:

Hint: Use pencil/paper to construct what the data table might look like.

• The mortgage rate variable is ["nominal", "ordinal", "numeric"]     .
• True or false: the coding convention of the mortgage rate variable is a rate or percentage. ["True", "False"]    
• How many labeling variables are in the data table? ["0", "1", "2"]     
• The periodicity of the observations is ["monthly", "quarterly", "weekly", "none of these is the correct answer"]  

Answer 1

The data table is constructed in the image using the information given in the question which consists of two columns namely, Brokers and Mortgage rate. There are 40 different brokers, so it is shown in the table first four, so on up to 40. Similarly, the first four mortgage rate is shown, and the last one, which are chosen arbitrarily random, as there is no specific information given about mortgage rates.

The explanation of each part is shown separately in the below image(s).