A sales manager collected the following data on y = annual sales and x = years of experience. The estimated regression equation for these data is y = 80 + 4x. Click on the datafile logo to reference the data. (NEED ANSWERS FOR A, B, C) a. Compute SST, SSR, and SSE. b. Compute the coefficient of determination r2. Comment on the goodness of fit. __________ (provides a good fit / does not produce much of a fit) c. What is the value of the sample correlation coefficient (to 2 decimals)?
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 sales manager collected the following data on y = annual sales and x = years of experience. The estimated regression equation for these data is y = 80 + 4x. Click on the datafile logo to reference the data.
(NEED ANSWERS FOR A, B, C)
a. Compute SST, SSR, and SSE.
b. Compute the coefficient of determination r2.
Comment on the goodness of fit. __________ (provides a good fit / does not produce much of a fit)
c. What is the value of the sample
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