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After analyzing our random sample, we will apply our knowledge of model building to recommend the equation that we believe best predicts the prices of diamonds.
Statistical Methods used for Analysis
After collecting the data (a random sample of 44 out of 183 round diamonds between 0.4 and 1.6 carat, and 6 out of 25 princess cut diamonds of the same carat range) the first action we had to do was transform the data from a test to numerical format in order to use it in determining a model for regression. The predictors for price that were given in text format on www.canadadiamonds.com were: Color, Cut, and Clarity...
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