Based on the analyst's data and regression line, complete the following. For these data, values for earnings per share that are greater than the mean of the values for earnings per share tend to be paired with current stock prices that are (greater than, lesser than) the mean of the current stock prices.According to the regression equation, for an increase of one dollar in earnings per share, there is a corresponding increase of how many dollars in current stock price? 27.161.2028.630.813+30.961.5456.942.942.5+43.751.592+58.902.151.5+48.651.5736.651.6237.611.150.5+15.480.4927.831.38105042.080.96Earnings per share(in dollars)52.072.8042.151.8415.430.74>Current stock price(in dollars) A financial analyst is examining the relationship between stock prices and earnings per share. She chooses sixteen publicly traded companiesat random and records for each the company's current stock price and the company's earnings per share reported for the past 12 months. Herdata are given below, with x denoting the earnings per share from the previous year, and y denoting the current stock price (both in dollars).Based on these data, she computes the least-squares regression line to be y =-0.092 +0.043x. This line, along with a scatter plot of herdata, is shown below.Current stock price, yEarnings per share, x(in dollars)(in dollars)21.350.88

Given regression equation ŷ = -0.092 + 0.043x Slope = 0.043 Slope is positive, so if earnings per…

Answered: Based on the analyst's data and…

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Based on the analyst's data and regression line, complete the following.

For these data, values for earnings per share that are greater than the mean of the values for earnings per share tend to be paired with current stock prices that are (greater than, lesser than) the mean of the current stock prices.
According to the regression equation, for an increase of one dollar in earnings per share, there is a corresponding increase of how many dollars in current stock price?

27.16
1.20
28.63
0.81
3+
30.96
1.54
56.94
2.94
2.5+
43.75
1.59
2+
58.90
2.15
1.5+
48.65
1.57
36.65
1.62
37.61
1.15
0.5+
15.48
0.49
27.83
1.38
10
50
42.08
0.96
Earnings per share
(in dollars)
52.07
2.80
42.15
1.84
15.43
0.74
>
Current stock price
(in dollars)

A financial analyst is examining the relationship between stock prices and earnings per share. She chooses sixteen publicly traded companies
at random and records for each the company's current stock price and the company's earnings per share reported for the past 12 months. Her
data are given below, with x denoting the earnings per share from the previous year, and y denoting the current stock price (both in dollars).
Based on these data, she computes the least-squares regression line to be y =-0.092 +0.043x. This line, along with a scatter plot of her
data, is shown below.
Current stock price, y
Earnings per share, x
(in dollars)
(in dollars)
21.35
0.88

Definition Definition Measure of central tendency that is the average of a given data set. The mean value is evaluated as the quotient of the sum of all observations by the sample size. The mean, in contrast to a median, is affected by extreme values. Very large or very small values can distract the mean from the center of the data. Arithmetic mean: The most common type of mean is the arithmetic mean. It is evaluated using the formula: μ = 1 N ∑ i = 1 N x i Other types of means are the geometric mean, logarithmic mean, and harmonic mean. Geometric mean: The nth root of the product of n observations from a data set is defined as the geometric mean of the set: G = x 1 x 2 ... x n n Logarithmic mean: The difference of the natural logarithms of the two numbers, divided by the difference between the numbers is the logarithmic mean of the two numbers. The logarithmic mean is used particularly in heat transfer and mass transfer. ln x 2 − ln x 1 x 2 − x 1 Harmonic mean: The inverse of the arithmetic mean of the inverses of all the numbers in a data set is the harmonic mean of the data. 1 1 x 1 + 1 x 2 + ...

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