Homework 9 combined questions

salesperson years of experience annual sales($1000) 1. Draw a scatter plot 1 1 80 2 3 97 3 4 92 4 4 102 5 6 103 6 8 111 7 10 119 8 10 123 9 11 117 10 13 136 2. Find Estimate regression 3. The estimated annual sale in thousands of dollars for a sales person with 9 years of experience was 116. The calculation is as follows: Y ^=80+4 X =80+4(9)=80+36=116 The simple linear regression line is, y^ =80+4XThis equation explains the increasing the every year of experience then annual sales in thousands of dollars for every person will be increases by the value of 4. 0 50 100 150 0 2 4 6 8 10 12 Chart Title Series1 Series2 Jade Scott Econ3300 Homework 9 Question 1

Jade Scott Econ 3300 Homework 9 Question 2 Question 2 Answers 1. The production volume and the total cost are given. The sample size is, n=6 \ x―=575 y―=5,616.66667 ( x−x―)(y−y―)=712,500 (x−x―)2=93,750 (y−y―)2=5,648,333.33333 The slope can be calculated as, B ^1=∑(x−x―)(y−y―)∑(x−x―)2=712,50093,750=7.6 The y-intercept is calculated as, B ^0=y―− B ^1x―=5,616.66667−7.6×575=5,616.66667−4,370=1,246.66667 So, the estimated regression equation is,