Business Analytics Assignment
1. Perform a logit and probit analysis of the variables that affect whether a customer takes out a loan. Consider only main effects. Which variables are significant? How do the significant variables influence the likelihood of taking out a loan? Copy screen snapshots of your analysis in R to your report.
2. Add moderating effects (interactions of variables). Which interactions make sense conceptually? Which interactions are statistically significant? How do you interpret the coefficients on these variables? Copy screen snapshots of your analysis in R to your report.
3. Create a final regression model with the variables that you feel are important (both main effects and interaction terms). Create a spreadsheet prediction of the model. Which variables have the greatest influence on the customers' loan behavior (combined main effects and interaction effects)? Perform a sensitivity analysis as seen earlier in the semester. Copy screen snapshots of your analysis in R to your report.
4. Perform a neural network analysis of the variables found to be significant in the logit and probit analysis above. Copy screen snapshots of your final neural network model in R to your report.
5. Create a prediction model of the neural network. Using the prediction model, perform a sensitivity analysis for the neural network model similar to the logit and probit sensitivity analysis.
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also include a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also Include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.
Attachment:- Universal-Bank.rar