Mini Project

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STAC67H3: Regression Analysis
Mini Project
Write a mini project for your course STAC67H3: Regression Analysis.
Your project should contain the following sections:
1. Section 1: Introduction { Brie
y introduce your project and the objectives. State
some important results.

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2. Section 2: Objectives { Using 3/4 sentences clearly write down the objectives of
your project.
3. Section 3: Data { Write a paragraph or two regarding your data.
4. Section 4: Methodology { For full credit, you should show applications of the
following methods that you learned in class:
(a) Extra sum of squares principle to test whether some the regression coecients
k’s are zero or not.
(b) Model with interaction e ects, and model with qualitative predictors.
(c) Model Selection and Validation.
(d) Model Diagnostics.
5. Section 5: Results { Show your nal model, discuss and explain important results.
6. Section 6: Appendix { You can show your R codes, important documents etc, here.
Data – Real Estate Sales: The city tax assessor was interested in predicting residential
home sales prices in a mid-western city as a function of various characteristics of the home
and surrounding property. Data on 522 arms-length transaction were obtained for home sales
during the year 2002. Each line of the data set has an identi cation number and provides

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information on 12 other variables. The 13 variables are:
Variable
Number Variable Name Description
1 Identi cation number 1 – 522
2 Sales price Sales price of residence (dollars)
3 Finished square feet Finished area of residence (square feet)
4 Number of bedrooms Total number of bedrooms in residence
5 Number of bathrooms Total number of bathrooms in residence
6 Air conditioning Presence or absence of air conditioning:
1 if yes; 0 otherwise
7 Garage size Number of cars that garage will hold
8 Pool Presence or absence of swimming pool:
1 if yes; 0 otherwise
9 Year built Year property was originally constructed
10 Quality Index for quality of construction: 1
indicates high quality; 2 indicates
medium quality; 3 indicates low qual-ity
11 Style Qualitative indicator of architectural
style
12 Lot size Lot size (square feet)
13 Adjacent to highway Presence or absence of adjacency to
highway: 1 if yes; 0 otherwise

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