Seventy homes that were for sale in Tampa, Florida in Spring of 2019 were randomly selected. A regression model to predict house price was run based on first floor square footage and the indicator variable for Beach (1 if the house was within 1 mile of the beach, 0 if not). There was also an interaction term for firstfloorsquarefootage*Beach.
| Term | Estimate | Std. Error |
| Intercept | -93.4 | 214.5 |
| Beach | 782.5 | 31.45 |
| firstfloorsquarefootage | 0.412 | 0.120 |
| firstfloorsquarefootage*Beach | 0.004 | 0.012 |
How would you interpret the slope coefficient for firstfloorsquarefootage*Beach?
Group of answer choices
Homes near the Beach are less expensive than elsewhere for a given size.
The slope of the relationship between firstfloorsquarefootage and price is lesssteep for homes near the beach than elsewhere in Tampa
Homes near the Beach are more expensive than elsewhere for a given size.
The slope of the relationship between firstfloorsquarefootage and price is moresteep for homes near the beach than elsewhere in Tampa
since interaction coefficient is positive, for beach , first floor square footage will increase , therefore correct option is:
The slope of the relationship between first floor square footage and price is more steep for homes near the beach than elsewhere in Tampa
Seventy homes that were for sale in Tampa, Florida in Spring of 2019 were randomly selected....