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A REGRESSION MODEL FOR CAR MILEAGE ANALYSIS

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<p>PowerPoint Presentation</p>
<p>BADM AssignmentBy:Akash SharmaShubham S RNaveen AgarwalChanchal DigwaniAyushi jain</p>
<p>Business objective To find the mileage in the city and highway driving dependency on various factors of a car and causes of its variation.Analysis objectiveTheoretical Framework</p>
<p>Independent Variables Type of Transmission: Transmissions can be divided into two from the manual transmission and the automatic transmission. Manual transmission being for the lighter vehicles and the automatic transmission for the heavy vehicles. The lighter vehicles are more fuel efficient and vise a versa. Thus type of transmission forms an independent variable. Displacement of engine in liters: Displacementis the volume of air your engine can consume in a single revolution, and these days its usually described in liters. For example, Car A has a 1.5-liter four-cylinder engine. That means with every revolution of the motor, the engine draws in and expels 1.5 liters of air. The more air an engine moves, the more fuel it can consume with every turn.</p>
<p>Continued.. No of cylinders in engine: With increase in the number of the cylinders the friction increases which leads to loss of energy which gets compensated through the energy produced by the engine. Thus for same power output and same operating conditions the engine with greater number of cylinders will generate more power losses. Displacement of engine in liters: Displacementis the volume of air your engine can consume in a single revolution, and these days its usually described in liters. For example, Car A has a 1.5-liter four-cylinder engine. That means with every revolution of the motor, the engine draws in and expels 1.5 liters of air. The more air an engine moves, the more fuel it can consume with every turn.</p>
<p>Moderating Variables Condition of Roads: Bumpy roads increase the amount of resistance a vehicle experiences as it travels down the road, similar to how driving into a strong headwind requires additional fuel to maintain a certain speed, though on a smaller scale. Increased resistance translates to an increase in fuel consumption. The level at which fuel efficiency is affected is heavily tied to the condition of the roads, or the pavement-vehicle interaction. Drivers Rationale: Speeding affects the fuel consumption of the vehicles. Optimal fuel economy is different at different speeds and decreases as the speed increases.</p>
<p>Exploratory analysisUNIVARIATE ANALYSIS-HIGWAY MILEAGENValid230Missing0Mean28.96Median28.00Mode29Std. Deviation4.895Variance23.963Skewness1.732Std. Error of Skewness.160Kurtosis4.940Std. Error of Kurtosis.320Minimum20Maximum51UNIVARIATE ANALYSIS-CITY MILEAGENValid230Missing0Mean21.46Median20.00Mode20Std. Deviation5.220Variance27.254Skewness2.706Std. Error of Skewness.160Kurtosis10.669Std. Error of Kurtosis.320Minimum13Maximum52INTERPRETATION A large no cars give a highway mileage of between 25-35. And is overall skewed normal curve. A large no cars of city mileage between 15-35And is skewed towards the lower mileage rangeUNIVARIATE ANALYSIS-TRANSMISSIONUNIVARIATE ANALYSIS-CYLINDERNValid230Missing0Mean5.50Median6.00Mode6Std. Deviation1.382Variance1.910Skewness.379Std. Error of Skewness.160Kurtosis-.878Std. Error of Kurtosis.320Minimum4Maximum8UNIVARIATE ANALYSIS-CAR TYPEBinFrequencyCOMPACT CARS125LARGE CARS26MIDSIZE CARS79UNIVARIATE ANALYSIS-DISPLACEMENTStatisticsDisplacementValid230Missing0Mean2.862174Median2.750000Mode3.0000Std. Deviation.8636798Skewness.620Std. Error of Skewness.160Kurtosis-.184Std. Error of Kurtosis.320Range3.7000Minimum1.3000Maximum5.0000INTERPRETATION A large number of cars are run on the manual transmission Major number of cars are under the cylinder range of 5 to 6. And the data is normally distributed. Majorly the cars come under the category of compact cars. The no of cars based on the displacement are skewed towards right in the range of 2.4 to 5.4</p>
<p>Bivariate Analysis-Hypothesis FormulationHighway MileageHo: There is no significant relationship between Mileage and Cylinder displacement H1: There is significant relationship between Mileage and Cylinder displacement Ho: There is no significant relationship between Mileage and cylinder classH1: There is significant relationship between Mileage and cylinder classCity MileageHo: There is no significant relationship between Mileage and Cylinder displacementH1: There is significant relationship between Mileage and Cylinder displacement</p>
<p>ResultsPearson Chi-square= 1773.67, since the p value </p>