he Motion Picture Distributors Association of Australia collects yearly data on gross box office takings of the films in Australia. Data is provided here for the years 1990-2004. (Unfortunately more recent data is not readily available.) Is the highest box office takings for a film related to the number of films screened in Australia that year? Year No. of films screened Highest box office ($ million)

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The Motion Picture Distributors Association of Australia collects yearly data on gross box office takings of the films in Australia. Data is provided here for the years 1990-2004. (Unfortunately more recent data is not readily available.) Is the highest box office takings for a film related to the number of films screened in Australia that year?

Year No. of films screened Highest box office ($ million)
1990 252 26.1
1991 240 19.22
1992 229 18.73
1993 259 31.74
1994 252 24.65
1995 253 17.93
1996 281 29.29
1997 285 22.7
1998 273 47.33
1999 255 38.72
2000 250 30.72
2001 245 32.05
2002 258 33.81
2003 268 37.14
2004 318 50.35

 

1. Produce a scatterplot of the relevant data. Comment on the appropriateness of analysing this data using a linear regression model. 

2. Use the statistics from a regression analysis of this data to evaluate the evidence for a useful predictive linear relationship between the two variables at the 5% significance level. 

3. Provide an approximate 90% prediction interval for the highest box office takings for a film in Australia when there are 290 films screened that year. 

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