Question

A study was carried out to compare mean customer satisfaction scores at service centers in city A, in city B, and in city C. The sample mean on a scale of 0 to 10 were 8.5 in city A, 8.8 m city B, and 8.1 in city C. Each sample size = 100, MS error = 0.36, and the F test statistic = 27 has P-value < 0.001. Complete parts a and b below. a. Set up indicator variables to represent the three service centers. Choose the correct answer below. A. x_1 = 0 for observations in city A, = 1 for observations in city B, and = 2 for observations in city C, x_2 = 1 for when at least two observations are equal and = 0 otherwise B. x_1 = 1 for observations in city A and = 0 for observations in city B, x_2 = 1 far observations in city C and = 0 otherwise C. x_1 = 1 for observations in city A and = 0 otherwise, x_2 = 1 for observations in city B and = 0 otherwise b. What is the prediction equation? How do the terms in the prediction equation relate to the sample means? Find the prediction equation. y = + x_1 + x_2.

Answer 1

Answer:

Step-by-step explanation:

a) Option C is correct.

b)y =8.1 + 0.4x₁ +0.7x₂

Constant is the sample mean for city C. The coefficient of x1 is the difference between the sample means for City A and City C and the coefficient of x2 is the difference between the sample means for City B and City C.