Profitability remains a challenge for banks and thrifts withless than​ $2 billion of assets. The business problem facing a bankanalyst relates to the factors that affect return on assets​ (ROA),an indicator of how profitable a company is relative to its totalassets. Data collected from a sample of 20 community banks includethe ROA​ (%), the efficiency ratio​ (%), as a measure of bankproductivity​ (the lower the efficiency​ ratio, the​ better), andtotal​ risk-based capital​ (%), as a measure of capital adequacy.Complete parts​ (a) through​ (g) below.
a. State the multiple regression equation.
Let X1i represent the efficiency ratio​ (%) and let X2irepresent the total​ risk-based capital​ (%).
Yi=( )+( Â Â ) X1i+ ( ) X2i
​(Round the constant to two decimal places as needed.)
| ROA | Efficiency Ratio | Total RiskBased Capital |
| 0.54 | 74.69 | 15.33 |
| 4.41 | 86.31 | 10.96 |
| 1.55 | 71.04 | 14.3 |
| 1.29 | 54.81 | 19.19 |
| 1.07 | 70.15 | 16.61 |
| 4.55 | 86.21 | 20.78 |
| 1.3 | 51.32 | 24.04 |
| 1.1 | 79.47 | 10.53 |
| 0.73 | 61.73 | 12.5 |
| 1.17 | 62.47 | 11.67 |
| 0.6 | 63.31 | 13.94 |
| 1.23 | 58.77 | 14.92 |
| 0.9 | 72.43 | 15.52 |
| 0.8 | 72.42 | 17.97 |
| 1.06 | 57.09 | 14.62 |
| 1.06 | 59.37 | 14.06 |
| 0.9 | 64.53 | 13.64 |
| 1.75 | 55.68 | 17.42 |
| 7.27 | 81.4 | 27.77 |
| 0.97 | 55.14 | 15.44 |
| 1.7125 | 66.917 | 16.0605 |
How is this solved in excel? thanks
