6. Health Insurance: Administrative Cost The following data are based on information from Domestic Affairs. Let x be the average number of employees in a group health insurance plan, and let y be the average administrative cost as a percentage of claims. x 3 7 15 35 75 y 40 35 30 25 18 a. Make a scatter diagram and draw the line you think best fits the data. b. Would you say the correlation is low, moderate, or strong? positive or negative? c. Use a calculator to verify that Σx = 135, Σx² = 7133, y = 148, Σy² = 4674, and Exy=3040. Computer. As x increases from 3 to 75, does the value of r imply that y should tend to increase or decrease? Explain.
6. Health Insurance: Administrative Cost The following data are based on information from Domestic Affairs. Let x be the average number of employees in a group health insurance plan, and let y be the average administrative cost as a percentage of claims. x 3 7 15 35 75 y 40 35 30 25 18 a. Make a scatter diagram and draw the line you think best fits the data. b. Would you say the correlation is low, moderate, or strong? positive or negative? c. Use a calculator to verify that Σx = 135, Σx² = 7133, y = 148, Σy² = 4674, and Exy=3040. Computer. As x increases from 3 to 75, does the value of r imply that y should tend to increase or decrease? Explain.
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
Related questions
Question
100%
With steps and explanation
Transcribed Image Text:6. Health Insurance: Administrative Cost The following data are based on information
from Domestic Affairs. Let x be the average number of employees in a group health
insurance plan, and let y be the average administrative cost as a percentage of claims.
x
3
7 15
35
75
y
40
35
30
25
18
a. Make a scatter diagram and draw the line you think best fits the data.
b. Would you say the correlation is low, moderate, or strong? positive or negative?
c. Use a calculator to verify that Σx = 135, Σx² = 7133, y = 148, Σy² = 4674, and
Exy=3040. Computer. As x increases from 3 to 75, does the value of r imply
that y should tend to increase or decrease? Explain.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 1 images
Recommended textbooks for you
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman