The list of attributes comprises the name of the variable, the value attribute, and the coefficient by which the values of this variable must be multiplied. To do a regression analysis with categorical values, some means must be applied to enable calculations. Thus the coefficient is multiplied by 1. Consequently, the product is ignored in the ongoing analysis. This is a linear regression equation predicting a number of insurance claims on prior knowledge of the values of the independent variables age, salary and car location.
Car location is the only categorical variable.
Its value attribute can take on two possible values, carpark and street. This is a stepwise polynomial regression equation predicting a number of insurance claims on prior knowledge of the values of the independent variables salary and car location. Car location is a categorical variable. Its value attribute can take on two possible values, carpark and street.