A business executive, transferred from Chicago to Atlanta, needs to sell her house inChicago quickly. The executive’s employer has offered to buy the house for $210,000, butthe offer expires at the end of the week. The executive does not currently have a better offerbut can afford to leave the house on the market for another month. From conversations withher realtor, the executive believes the price she will get by leaving the house on the marketfor another month is uniformly distributed between $200,000 and $225,000.a. If she leaves the house on the market for another month, what is the mathematicalexpression for the probability density function of the sales price?b. If she leaves it on the market for another month, what is the probability she will get atleast $215,000 for the house?
Correlation
Correlation defines a relationship between two independent variables. It tells the degree to which variables move in relation to each other. When two sets of data are related to each other, there is a correlation between them.
Linear Correlation
A correlation is used to determine the relationships between numerical and categorical variables. In other words, it is an indicator of how things are connected to one another. The correlation analysis is the study of how variables are related.
Regression Analysis
Regression analysis is a statistical method in which it estimates the relationship between a dependent variable and one or more independent variable. In simple terms dependent variable is called as outcome variable and independent variable is called as predictors. Regression analysis is one of the methods to find the trends in data. The independent variable used in Regression analysis is named Predictor variable. It offers data of an associated dependent variable regarding a particular outcome.
A business executive, transferred from Chicago to Atlanta, needs to sell her house in
Chicago quickly. The executive’s employer has offered to buy the house for $210,000, but
the offer expires at the end of the week. The executive does not currently have a better offer
but can afford to leave the house on the market for another month. From conversations with
her realtor, the executive believes the price she will get by leaving the house on the market
for another month is uniformly distributed between $200,000 and $225,000.
a. If she leaves the house on the market for another month, what is the mathematical
expression for the probability density
b. If she leaves it on the market for another month, what is the probability she will get at
least $215,000 for the house?
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