HOUSE PRICE ANALYSIS

Baton Rouge House Price Data

Baton Rouge House Price Data

Problem 1.1

Using Baton Rouge data on house prices, complete following tasks.

(a) Identify categorical and numerical variables from the variables included in the data.(b) Identify nominal and ordinal variables from the categorical variables included in the data.(c) Identify ratio and interval variables from the numerical variables included in the data.

(A)

Categorical and Numerical Variables

Following variables in the presented data are categorical in nature.

Pool: Identify whether house has a pool or not.

Fireplace: Identify whether house has a fireplace or not.

Waterfront: Identify whether house has the waterfront or not.

Occupancy: Identify whether the is occupied by the tenant, owner, house is vacant.

Style: Identify the architectural style of the house.

Beds: Total number of bedrooms present in the house

Baths: Total number of bathrooms present in the house

Following variables in the presented data are numerical in nature.

Price: The price the house sold for

Square Feet: The size of the house in square feet

Year Built: The year in which the house was built

Age: The age of the house in years

Days on Market: How many days the house spent on the market before it was ultimately sold

(B)

Categorization of Categorical Variables as Nominal and Ordinal

Following categorical variables in the presented data are nominal in nature.

Pool: Identify whether house has a pool or not.

Fireplace: Identify whether house has a fireplace or not.

Waterfront: Identify whether house has the waterfront or not.

Occupancy: Identify whether the is occupied by the tenant, owner, house is vacant.

Style: Identify the architectural style of the house.

Following categorical variables in the presented data are ordinal in nature.

Beds: Total number of bedrooms present in the house

Baths: Total number of bathrooms present in the house

(C)

Categorization of Numerical Variables as Ratio and Interval

Following numerical variables in the presented data are ratio in nature.

Price: The price the house sold for

Square Feet: The size of the house in square feet

Year Built: The year in which the house was built

Age: The age of the house in years

Days on Market: How many days the house spent on the market before it was ultimately sold

There is no numerical variable in the data that is interval in nature. Therefore, all numerical variables are ratio in nature.

Problem 1.2

Using Baton Rouge data on house prices, complete following tasks.

(a) Using architectural styles of the homes sold variable, present ordered summary table and summary table of the variable.(b) Present a Pareto diagram, a pie chart, and a bar chart of architectural styles of the homes sold.(c) Comment on the most appropriate graphical method that best portray the data?(d) Derive conclusions about the architectural styles of house sold in Baton Rouge based on the data. Excel Tips:The easiest way to create the frequency summary table is with the COUNTIF command. The command works like this: =COUNTIF(x, y), where x is the set of cells you want to look in for a particular value, and y is the value you are looking for. For example, = COUNTIF(K: K, "Vacant") would look in the K column for all instances of the term "Vacant", ...