A large national bank charges local companies for using its services. A bank official reported the results of a regression analysis designed to predict the bank's charges (y), measured in dollars per month, for services rendered to local companies. One independent variable used to predict service charge to a company is the company's sales revenue (x), measured in millions of dollars. Data for 21 companies who use the bank's services were used to fit the model, =b,x+ bo. The results of the least-squares linear regression are provided below. Interpret the estimate of bo, the y-intercept of the line. 20x + 2,700, s = 65, 2-tailed p-value = 0.064 (for testing b,) O A. There is no practical interpretation since a sales revenue of $0 is not likely to be a value. O B. About 95% of the observed service charges fall within $2,700 of the least-squares regression line. OC. All companies will be charged at least $2,700 by the bank. O D. For every $1 million increase in sales revenue, we expect a service charge o increase $2,700

A large national bank charges local companies for using its services. A bank official reported the results of a regression analysis designed to predict the bank's charges (y), measured in dollars per month, for services rendered to local companies. One independent variable used to predict service charge to a company is the company's sales revenue (x), measured in millions of dollars. Data for 21 companies who use the bank's services were used to fit the model, =b,x+ bo. The results of the least-squares linear regression are provided below. Interpret the estimate of bo, the y-intercept of the line. 20x + 2,700, s = 65, 2-tailed p-value = 0.064 (for testing b,) O A. There is no practical interpretation since a sales revenue of $0 is not likely to be a value. O B. About 95% of the observed service charges fall within $2,700 of the least-squares regression line. OC. All companies will be charged at least $2,700 by the bank. O D. For every $1 million increase in sales revenue, we expect a service charge o increase $2,700

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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Concept explainers

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.

Question

A large national bank charges local companies for using its services. A bank official reported the results of a regression analysis designed to predict the bank's charges (y), measured in dollars per month, for services rendered to local
companies. One independent variable used to predict service charge to a company is the company's sales revenue (x), measured in millions of dollars. Data for 21 companies who use the bank's services were used to fit the model,
y =b, x+ bn. The results of the least-squares linear regression are provided below. Interpret the estimate of bo, the y-intercept of the line.
v= 20x + 2,700, s = 65, 2-tailed p-value = 0.064 (for testing b,)
O A. There is no practical interpretation since a sales revenue of $0 is not likely to be a value.
O B. About 95% of the observed service charges fall within $2,700 of the least-squares regression line.
OC. All companies will be charged at least $2,700 by the bank.
O D. For every $1 million increase in sales revenue, we expect a service charge to increase $2,700.

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