1. A publisher of books has produced five comparable Statistical Management books with the following costs. Both values are in thousands. Quantity produced (x000) 1 2 4 5 7 Manufacturing 5 5.9 6.5 7.5 8 Cost (x000) d) Calculate the predicted value and the residuals of this data. Construct 99% confidence interval for the intercept. Construct 99% confidence interval for the slope. e) f)

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6th Edition
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Author:Amos Gilat
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Question
1.
A publisher of books has produced five comparable Statistical Management
books with the following costs. Both values are in thousands.
Quantity
produced
(x000)
1
2
4
5
7
Manufacturing
Cost (x000)
5.9
6.5
7.5
8
d)
e)
Calculate the predicted value and the residuals of this data.
Construct 99% confidence interval for the intercept.
Construct 99% confidence interval for the slope.
Test for significance of regression by ANOVA and interpret your conclusion.
f)
g)
Transcribed Image Text:1. A publisher of books has produced five comparable Statistical Management books with the following costs. Both values are in thousands. Quantity produced (x000) 1 2 4 5 7 Manufacturing Cost (x000) 5.9 6.5 7.5 8 d) e) Calculate the predicted value and the residuals of this data. Construct 99% confidence interval for the intercept. Construct 99% confidence interval for the slope. Test for significance of regression by ANOVA and interpret your conclusion. f) g)
Table A.3 (continued) Areas under the Normal Curve
.00
.01
.02
.03
.04
.05
.06
.07
.08
.09
Table A.4 Critical Values of the t-Distribution
0.0 0.5000 0.5040 0.5080 0.5120 0.5160 0.5199 0.5239 0.5279
0.5517
0.5319 0.5359
0.1
0.1
0.5398 0.5438
0.5478
0.5557
0.5596
0.5636 0.5675
0.5714
0.5753
0.40
0.30
0.20
0.15
0.10
0.05
0.025
0.2
0.5793 0.5832 0.5871 0.5910 0.5948 0.5987
0.6026 0.6064
0.6103 0.6141
3.078
1.886
0.3
0.6179
0.6217 0.6255 0.6293 0.6331
0.6368 0.6406 0.6443
0.6480 0.6517
1
0.325
0.727
1.376
1.963
6.314
12.706
1.386
1.250
1.190
1.156
0.4 0.6554 0.6591 0.6628 0.6664 0.6700 0.6736 0.6772 0.6808
0.6844
0.6879
2
0.289
0.617
1.061
2.920
4.303
0.277
0.584
0.978
0.941
3.182
2.776
3
1.638
2.353
0.6950 0.6985 0.7019 0.7054 0.7088 0.7123 0.7157
0.7324 0.7357 0.7389 0.7422 0.7454 0.7486
0.7190 0.7224
0.7517
0.5
0.6915
4
0.271
0.569
1.533
2.132
0.6 0.7257 0.7291
0.7580
0.7549
0.267
0,559
0.920
1.476
2.015
2.571
0.7
0.7611 0.7642 0.7673 0.7704 0.7734
0.7764 0.7794
0.7823 0.7852
0,906
0.896
1.134
1.119
1.108
0.8 0.7881
0.7910 0.7939 0.7967 0.7995 0.8023 0.8051 0.8078 0.8106 0.8133
6.
0.265
0.553
1.440
1.943
2.447
0.263
0.262
0.549
0.546
2.365
2.306
0.9 0.8159 0.8186
0.8212 0.8238 0.8264 0.8289 0.8315 0.8340 0.8365 0.8389
1.415
1.895
0.889
0.883
8
1.397
1.860
1.0
0.8413
0.8438 0.8461 0.8485 0.8508 0.8531 0.8554 0.8577
0.8599 0.8621
0.261
0.543
1.100
1.383
1.833
2.262
0.8686 0.8708 0.8729 0.8749 0.8770 0.8790
1.2 0.8849 0.8869 0.8888 0.8907 0.8925 0.8944 0.8962 0.8980 0.8997 0.9015
1.1
0.8643
0.8665
0.8810 0.8830
10
0.260
0.542
0.879
1.093
1.372
1.812
2.228
0.540
0.539
11
0.260
1.088
1.363
0.876
0.873
1.796
2.201
2.179
2.160
1.3
0.9032 0.9049 0.9066 0.9082 0.9099 0.9115 0.9131 0.9147
0.9162 0.9177
1.4 0.9192 0.9207 0.9222 0.9236 0.9251 0.9265 0.9279 0.9292 0.9306 0.9319
12
0.259
1.083
1.356
1.782
1.350
1.345
1.341
13
0.259
0.538
0,870
1.079
1.771
1.5
0.9332 0.9345 0.9357 0.9370 0.9382 0.9394 0.9406 0.9418
0.9429 0.9441
1.076
1.074
14
0.258
0.537
0.868
1.761
2.145
1.6 0.9452 0.9463 0.9474 0.9484 0.9495 0.9505 0.9515 0.9525
0.9564 0.9573 0.9582 0.9591 0.9599 0.9608
0.9664 0.9671 0.9678
0.9535 0.9545
15
0.258
0.536
0.866
1.753
2.131
0.9625
0.9699
0.9756 0.9761
1.7
0.9554
0.9616
0.9633
0.258
0.257
1.337
1.333
1.330
1.328
1.325
1.8 0.9641
0.9649
0.9656
0.9686 0.9693
0.9706
16
0.535
0.865
1.071
1.746
2.120
1.069
1.067
2.110
2.101
2.093
2.086
1.9 0.9713 0.9719 0.9726 0.9732 0.9738 0.9744 0.9750
0.9767
17
0.534
0.863
1.740
18
0.257
0.534
0.862
1.734
2.0 0.9772 0.9778 0.9783 0.9788 0.9793 0.9798 0.9803 0.9808
0.9812
0.9817
19
0.257
0.533
0.861
1.066
1.729
2.1 0.9821
0.9826 0.9830 0.9834 0.9838 0.9842 0.9846 0.9850
0.9854 0.9857
20
0.257
0.533
0.860
1.064
1.725
0.9864 0.9868 0.9871 0.9875 0.9878 0.9881
0.9901
2.2 0.9861
0.9884 0.9887 0.9890
1.323
1.321
1.319
21
0.257
0.532
0.859
1.063
1.721
2.080
2.3
2.4 0.9918 0.9920
0.9893 0.9896
0.9898
0.9913 0.9916
0.9925 0.9927 0.9929 0.9931 0.9932 0.9934 0.9936
0.9904 0.9906 0.9909 0.9911
0.532
0.532
0.531
1.061
1.060
22
0.858
2.074
2.069
2.064
2.060
0.9922
0.256
1.717
23
0.256
0.858
1.714
2.5
0.9938
0.9940
0.9941
0.9943 0.9945 0.9946 0.9948 0.9949
0.9951
0.9952
24
0.256
0.857
1.059
1.318
1.711
2.6 0.9953 0.9955 0.9956 0.9957 0.9959 0.9960 0.9961 0.9962
0.9963 0.9964
25
0.256
0.531
0.856
1.058
1.316
1.708
0.9965 0.9966 0.9967 0.9968 0.9969 0.9970 0.9971 0.9972 0.9973 0.9974
0.9974 0.9975 0.9976 0.9977 0.9977 0.9978 0.9979 0.9979 0.9980 0.9981
0.9981
2.7
1.706
1.703
1.701
1.699
26
0.256
0.531
0,856
1.058
1.315
1.314
1.313
1.311
1.310
2.056
2.052
2.048
2.045
2.8
0.855
0.855
0.854
0.854
2.9
0.9982 0.9982
0.9983
0.9984 0.9984 0.9985 0.9985 0.9986 0.9986
27
0.256
0.531
1.057
1.056
1.055
28
0.256
0.530
3.0
0.9987 0.9987 0.9987 0.9988 0.9988 0.9989 0.9989
0.9989
0.9990 0.9990
29
0.256
0.530
3.1
0.9990
0.9991
0.9991
0.9991
0.9992 0.9992 0.9992 0.9992
0.9993 0.9993
30
0.256
0.530
1.055
1.697
2.042
3.2 0.9993 0.9993 0.9994 0.9994 0.9994 0.9994 0.9994 0.9995
0.9995
0.9995
1.303
1.296
1.289
40
0.255
0.529
0.851
1.050
1.684
2.021
0.9996
0.9997 0.9998
3.3
0.9995
0.9995
0.9995
0.9996 0.9996
0.9996
0.9996 0.9996
0.9997
6
0.254
0.254
60
0.527
0.848
2.000
1.980
3.4
0.9997
0.9997
0.9997
0.9997 0.9997
0.9997
0.9997 0.9997
1.045
1.671
120
0.526
0.845
1.041
1.658
8,
0.253
0,524
0.842
1.036
1.282
1.645
1.960
Transcribed Image Text:Table A.3 (continued) Areas under the Normal Curve .00 .01 .02 .03 .04 .05 .06 .07 .08 .09 Table A.4 Critical Values of the t-Distribution 0.0 0.5000 0.5040 0.5080 0.5120 0.5160 0.5199 0.5239 0.5279 0.5517 0.5319 0.5359 0.1 0.1 0.5398 0.5438 0.5478 0.5557 0.5596 0.5636 0.5675 0.5714 0.5753 0.40 0.30 0.20 0.15 0.10 0.05 0.025 0.2 0.5793 0.5832 0.5871 0.5910 0.5948 0.5987 0.6026 0.6064 0.6103 0.6141 3.078 1.886 0.3 0.6179 0.6217 0.6255 0.6293 0.6331 0.6368 0.6406 0.6443 0.6480 0.6517 1 0.325 0.727 1.376 1.963 6.314 12.706 1.386 1.250 1.190 1.156 0.4 0.6554 0.6591 0.6628 0.6664 0.6700 0.6736 0.6772 0.6808 0.6844 0.6879 2 0.289 0.617 1.061 2.920 4.303 0.277 0.584 0.978 0.941 3.182 2.776 3 1.638 2.353 0.6950 0.6985 0.7019 0.7054 0.7088 0.7123 0.7157 0.7324 0.7357 0.7389 0.7422 0.7454 0.7486 0.7190 0.7224 0.7517 0.5 0.6915 4 0.271 0.569 1.533 2.132 0.6 0.7257 0.7291 0.7580 0.7549 0.267 0,559 0.920 1.476 2.015 2.571 0.7 0.7611 0.7642 0.7673 0.7704 0.7734 0.7764 0.7794 0.7823 0.7852 0,906 0.896 1.134 1.119 1.108 0.8 0.7881 0.7910 0.7939 0.7967 0.7995 0.8023 0.8051 0.8078 0.8106 0.8133 6. 0.265 0.553 1.440 1.943 2.447 0.263 0.262 0.549 0.546 2.365 2.306 0.9 0.8159 0.8186 0.8212 0.8238 0.8264 0.8289 0.8315 0.8340 0.8365 0.8389 1.415 1.895 0.889 0.883 8 1.397 1.860 1.0 0.8413 0.8438 0.8461 0.8485 0.8508 0.8531 0.8554 0.8577 0.8599 0.8621 0.261 0.543 1.100 1.383 1.833 2.262 0.8686 0.8708 0.8729 0.8749 0.8770 0.8790 1.2 0.8849 0.8869 0.8888 0.8907 0.8925 0.8944 0.8962 0.8980 0.8997 0.9015 1.1 0.8643 0.8665 0.8810 0.8830 10 0.260 0.542 0.879 1.093 1.372 1.812 2.228 0.540 0.539 11 0.260 1.088 1.363 0.876 0.873 1.796 2.201 2.179 2.160 1.3 0.9032 0.9049 0.9066 0.9082 0.9099 0.9115 0.9131 0.9147 0.9162 0.9177 1.4 0.9192 0.9207 0.9222 0.9236 0.9251 0.9265 0.9279 0.9292 0.9306 0.9319 12 0.259 1.083 1.356 1.782 1.350 1.345 1.341 13 0.259 0.538 0,870 1.079 1.771 1.5 0.9332 0.9345 0.9357 0.9370 0.9382 0.9394 0.9406 0.9418 0.9429 0.9441 1.076 1.074 14 0.258 0.537 0.868 1.761 2.145 1.6 0.9452 0.9463 0.9474 0.9484 0.9495 0.9505 0.9515 0.9525 0.9564 0.9573 0.9582 0.9591 0.9599 0.9608 0.9664 0.9671 0.9678 0.9535 0.9545 15 0.258 0.536 0.866 1.753 2.131 0.9625 0.9699 0.9756 0.9761 1.7 0.9554 0.9616 0.9633 0.258 0.257 1.337 1.333 1.330 1.328 1.325 1.8 0.9641 0.9649 0.9656 0.9686 0.9693 0.9706 16 0.535 0.865 1.071 1.746 2.120 1.069 1.067 2.110 2.101 2.093 2.086 1.9 0.9713 0.9719 0.9726 0.9732 0.9738 0.9744 0.9750 0.9767 17 0.534 0.863 1.740 18 0.257 0.534 0.862 1.734 2.0 0.9772 0.9778 0.9783 0.9788 0.9793 0.9798 0.9803 0.9808 0.9812 0.9817 19 0.257 0.533 0.861 1.066 1.729 2.1 0.9821 0.9826 0.9830 0.9834 0.9838 0.9842 0.9846 0.9850 0.9854 0.9857 20 0.257 0.533 0.860 1.064 1.725 0.9864 0.9868 0.9871 0.9875 0.9878 0.9881 0.9901 2.2 0.9861 0.9884 0.9887 0.9890 1.323 1.321 1.319 21 0.257 0.532 0.859 1.063 1.721 2.080 2.3 2.4 0.9918 0.9920 0.9893 0.9896 0.9898 0.9913 0.9916 0.9925 0.9927 0.9929 0.9931 0.9932 0.9934 0.9936 0.9904 0.9906 0.9909 0.9911 0.532 0.532 0.531 1.061 1.060 22 0.858 2.074 2.069 2.064 2.060 0.9922 0.256 1.717 23 0.256 0.858 1.714 2.5 0.9938 0.9940 0.9941 0.9943 0.9945 0.9946 0.9948 0.9949 0.9951 0.9952 24 0.256 0.857 1.059 1.318 1.711 2.6 0.9953 0.9955 0.9956 0.9957 0.9959 0.9960 0.9961 0.9962 0.9963 0.9964 25 0.256 0.531 0.856 1.058 1.316 1.708 0.9965 0.9966 0.9967 0.9968 0.9969 0.9970 0.9971 0.9972 0.9973 0.9974 0.9974 0.9975 0.9976 0.9977 0.9977 0.9978 0.9979 0.9979 0.9980 0.9981 0.9981 2.7 1.706 1.703 1.701 1.699 26 0.256 0.531 0,856 1.058 1.315 1.314 1.313 1.311 1.310 2.056 2.052 2.048 2.045 2.8 0.855 0.855 0.854 0.854 2.9 0.9982 0.9982 0.9983 0.9984 0.9984 0.9985 0.9985 0.9986 0.9986 27 0.256 0.531 1.057 1.056 1.055 28 0.256 0.530 3.0 0.9987 0.9987 0.9987 0.9988 0.9988 0.9989 0.9989 0.9989 0.9990 0.9990 29 0.256 0.530 3.1 0.9990 0.9991 0.9991 0.9991 0.9992 0.9992 0.9992 0.9992 0.9993 0.9993 30 0.256 0.530 1.055 1.697 2.042 3.2 0.9993 0.9993 0.9994 0.9994 0.9994 0.9994 0.9994 0.9995 0.9995 0.9995 1.303 1.296 1.289 40 0.255 0.529 0.851 1.050 1.684 2.021 0.9996 0.9997 0.9998 3.3 0.9995 0.9995 0.9995 0.9996 0.9996 0.9996 0.9996 0.9996 0.9997 6 0.254 0.254 60 0.527 0.848 2.000 1.980 3.4 0.9997 0.9997 0.9997 0.9997 0.9997 0.9997 0.9997 0.9997 1.045 1.671 120 0.526 0.845 1.041 1.658 8, 0.253 0,524 0.842 1.036 1.282 1.645 1.960
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