EBK STATISTICS FOR BUSINESS & ECONOMICS
EBK STATISTICS FOR BUSINESS & ECONOMICS
12th Edition
ISBN: 9780100460461
Author: Anderson
Publisher: YUZU
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Chapter 14.6, Problem 39E

Almost all U.S. light-rail systems use electric cars that run on tracks built at street level. The Federal Transit Administration claims light-rail is one of the safest modes of travel, with an accident rate of .99 accidents per million passenger miles as compared to 2.29 for buses. The following data show the miles of track and the weekday ridership in thousands of passengers for six light-rail systems (USA Today, January 7, 2003).

City Miles of Track Ridership (1000s)
Cleveland 15 15
Denver 17 35
Portland 38 81
Sacramento 21 31
San Diego 47 75
San Jose 31 30
St. Louis 34 42
  1. a. Use these data to develop an estimated regression equation that could be used to predict the ridership given the miles of track.
  2. b. Did the estimated regression equation provide a good fit? Explain.
  3. c. Develop a 95% confidence interval for the mean weekday ridership for all light-rail systems with 30 miles of track.
  4. d. Suppose that Charlotte is considering construction of a light-rail system with 30 miles of track. Develop a 95% prediction interval for the weekday ridership for the Charlotte system. Do you think that the prediction interval you developed would be of value to Charlotte planners in anticipating the number of weekday riders for their new light-rail system? Explain.
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Chapter 14 Solutions

EBK STATISTICS FOR BUSINESS & ECONOMICS

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