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Saturday, January 9, 2021

A company performed a survey

 January 09, 2021     No comments   

 A company performed a survey to understand the income of households in various neighbourhoods of a country. The data dictionary is also present. You can access the data dictionary from the following file Income_Data Dictionary. Please refer to the following data set to solve the problem Income.csv. ['FamilyIncome' is the target variable]


2.1) Perform exploratory data analysis on the dataset. Showcase some charts, graphs.


2.2) Is there evidence of multicollinearity? Showcase your analysis


2.3) Perform Multiple Linear Regression (using the 'statsmodels' library) and comment on the model thus built.


2.4) Perform Principal Component Analysis (on the predictor variables) and extract the Principal Components. Comment on the reason behind choosing the number of Principal Components.


2.5) Perform Multiple Linear Regression with 'FamilyIncome' as the dependent variable and the Principal Components extracted as the independent variables.


2.6) Comment on the Model thus built using the Principal Components and with 'FamilyIncome'.


2.7) Mention the business implication and interpretation of the models.

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