The commercial division of a property company conducted a study to determine the extent of the relationship between annual gross rents (£1000s) and the selling price (£1000s) for apartment buildings....

The commercial division of a property company conducted a study to determine the extent of the relationship between annual gross rents (£1000s) and the selling price (£1000s) for apartment buildings. Data were collected on several properties sold, and Excel’s Regression tool was used to develop an estimate regression equation. A portion of the regression output is shown below:

1. 
   

   How many apartment buildings were in the sample?

   
   


2. 
   

   Write the regression equation

   
   


3. 
   

   Use the t test to determine whether the selling price is related to annual gross rents,

   
   

   Use α= 0.05

   
   


4. 
   

   Use the F test to determine whether the selling price is related to annual gross rents,

   
   

   Use α= 0.05

   
   


5. 
   

   Predict the selling price of an apartment building with a gross annual rent of £50,000