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The predicted probability of using the coupon by a customer who spends $3000 annually and does have a Simmons credit card is 0.236854
Probability is the department of mathematics regarding numerical descriptions of the manner probable an occasion is to arise, or how in all likelihood it is that a proposition is authentic. The opportunity of an occasion is a number between 0 and 1, wherein, more or less speak, zero suggests the impossibility of the event and 1 suggests reality.
To calculate probability comply with the following steps
In ( p / 1 - p ) = - 2.10 + 3.31[tex]X_1[/tex] + 1.20[tex]X_2[/tex]
[tex]X_1[/tex] = $3,000 / $1,000 = 3 ( in $1,000 )
[tex]X_2[/tex] = zero ( does no longer have )
In ( p / 1 - p ) = - 2.10 + 0.31( 3 ) + 1.20( 0 )
In ( p / 1 - p ) = -1.17
p / 1 - p = [tex]e^{-1.17}[/tex]
p = 1 / 1 + [tex]e^{-1.17}[/tex]
p = 0.2369
Consequently, the probability of the usage of the coupon through clients is 0.2369
Anticipated possibilities are calibrated or scaled to mirror the determined prevalence of sophistication 1 sports by using the use of a further regressor that makes use of the initial chances to expect the target variable which is the real probabilities. Theoretical possibility uses math to expect the effects. Simply divide the favorable results by the viable results.
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