Financial Condition of Banks. The file Banks.csv includes data on a sample of 20 banks. The “Financial Condition” column records the judgment of an expert on the financial condition of each bank. This outcome variable takes one of two possible values—weak or strong—according to the financial condition of the bank. The predictors are two ratios used in the financial analysis of banks: TotLns&Lses/Assets is the ratio of total loans and leases to total assets and TotExp/Assets is the ratio of total expenses to total assets. The target is to use the two ratios for classifying the financial condition of a new bank.
Run a logistic regression model (on the entire dataset) that models the status of a bank as a function of the two financial measures provided. Specify….
Do you need high quality Custom Essay Writing Services?