Homework 1

1. Suppose we have the following data, y i 0 1xi i , i 1, ,5 . Assume i

is normally distributed.
xi 1 2 3 4 5
yi 3 7 5 11 14
(a) Find the least square estimate and the fitted regression equation.
(b) Compute the fitted value and the residual for the second observation.
(c) Find the mean square error (MSE) s 2 .
(d) Use t statistic to test H 0 : 1 2.6 at 0.05 .
(e) Find the 90% confidence interval for 0 .

2. Suppose we have the following results for a model of the type

20
y i 0 1xi i , i 1, ,20 , x 5 , y 3 , (x
i 1
i x ) 2 160 ,
20 20

(y
i 1
i y ) 2 83.2 , (x
i 1
i x )( y i y ) 80 .

(a) Find the least square estimate and the fitted regression equation.
(b) Find the mean square error (MSE) s 2 .
(c) Use t statistic to test H 0 : 1 0 at 0.05 .
(d) Use t statistic to test H 0 : 0 5 at 0.01 .
(e) Test H 0 : 1 0.5 at 0.1 based on confidence interval approach..

3. Consider these data: X: 0, 0, 1, 1, 2, 2; Y: 0, 1, 0, 1, 0, 1.

(a) Fit the model y 0 1x .
(b) Fit the model y x .
(c) Comment on the work you have done.

4. (#1.19) Grade point average. The director of admissions of a small college

selected 120 students at random from the new freshman class in a study to
determine whether a students grade point average (GPA) at the end of the
freshman year (Y) can be predicted from the ACT test score (X). The results
of the study follow. Assume that first-order regression model (
y i 0 1xi i ) is appropriate.
i: 1 2 3 118 119 120
Xi : 21 14 28 28 16 28
Yi: 3.897 3.885 3.778 3.914 1.860 2.948
(a) Obtain the least squares estimates of 0 and 1 , and state the estimated
 regression function.
(b) Plot the estimated regression function and the data. Does the estimated
regression function appear to fit the data well?
(c) Obtain a point estimate of the mean freshman GPA for students with ACT
test score X=30.
(d) What is the point estimate of the change in the mean response when the
entrance test score increases by one point?

5. (#1.23) Refer to Grade point average Problem 1.19.

n
(a) Obtain the residuals ei . Do they sum to zero in accord with ( ei 0 )?
i 1

(b) Estimate 2
and . In what units is expressed?