53. FILE Following is information on the price per share and the dividend for a sample of 30 companies. Company Price per Share Dividend 1 $20.00 $3.14 Q 2 22.01 3.36 29 15 77.91 80.00 17.65 17.36 a. Calculate the regression equation that predicts price per share based on the annual dividend. b. Test the significance of the slope. c. Determine the coefficient of determination. Interpret its value. d. Determine the correlation coefficient. Can you conclude that it is greater than 0 using the .05 significance level? e. If the dividend is $10, what is the predicted price per share? f. What is the 95% prediction interval of price per share if the dividend is $10?

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53. FILE Following is information on the price per share and the dividend for a sample of 30 companies.
Company Price per Share Dividend
1
$20.00
$3.14
Q
2
22.01
3.36
29
15
77.91
80.00
17.65
17.36
a. Calculate the regression equation that predicts price per share based on the annual dividend.
b. Test the significance of the slope.
c. Determine the coefficient of determination. Interpret its value.
d. Determine the correlation coefficient. Can you conclude that it is greater than 0 using the .05 significance level?
e. If the dividend is $10, what is the predicted price per share?
f. What is the 95% prediction interval of price per share if the dividend is $10?
Transcribed Image Text:53. FILE Following is information on the price per share and the dividend for a sample of 30 companies. Company Price per Share Dividend 1 $20.00 $3.14 Q 2 22.01 3.36 29 15 77.91 80.00 17.65 17.36 a. Calculate the regression equation that predicts price per share based on the annual dividend. b. Test the significance of the slope. c. Determine the coefficient of determination. Interpret its value. d. Determine the correlation coefficient. Can you conclude that it is greater than 0 using the .05 significance level? e. If the dividend is $10, what is the predicted price per share? f. What is the 95% prediction interval of price per share if the dividend is $10?
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