Investment analysts generally believe the interest rate on bonds is inversely related to the prime interest rat for loans; that is, bonds perform well when lending rates are down and perform poorly when interest rates a up. Determine the SSE and the se by using = 17.13 -0.99115 x. Examine the variables being analyzed by regression in this problem and comment on the value of se. Prime Interest Rate (x %) Bond Rate (y%) SSE = Se= 13 for bonds 6 8 4 7 5 ** 13 9 14 7 out of 5 ( Predicted (y) v 4.2478 11.1858 9.2035 13.1681 10.1947 Residuals (y - y) *(Do not round the intermediate values. Round your answer to 4 decimal places.) **(Round your answer to 3 decimal places.) 0.7522 1.8142 -0.2035 0.8319 -3.1947 %) of the estimates are within the value of se of the actual rate Se

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Investment analysts generally believe the interest rate on bonds is inversely related to the prime interest rate
for loans; that is, bonds perform well when lending rates are down and perform poorly when interest rates are
up. Determine the SSE and the se by using = 17.13 -0.99115 x. Examine the variables being analyzed by
Se
regression in this problem and comment on the value of se.
Prime Interest Rate (x%) Bond Rate (y%)
SSE =
Se=
13
for bonds.
6
8
4
7
5
**
13
9
14
7
Predicted (1)
out of 5 (
4.2478
11.1858
9.2035
13.1681
10.1947
Residuals (y - y)
0.7522
*(Do not round the intermediate values. Round your answer to 4 decimal places.)
**(Round your answer to 3 decimal places.)
1.8142
-0.2035
0.8319
-3.1947
%) of the estimates are within the value of se of the actual rate
Se
Transcribed Image Text:Investment analysts generally believe the interest rate on bonds is inversely related to the prime interest rate for loans; that is, bonds perform well when lending rates are down and perform poorly when interest rates are up. Determine the SSE and the se by using = 17.13 -0.99115 x. Examine the variables being analyzed by Se regression in this problem and comment on the value of se. Prime Interest Rate (x%) Bond Rate (y%) SSE = Se= 13 for bonds. 6 8 4 7 5 ** 13 9 14 7 Predicted (1) out of 5 ( 4.2478 11.1858 9.2035 13.1681 10.1947 Residuals (y - y) 0.7522 *(Do not round the intermediate values. Round your answer to 4 decimal places.) **(Round your answer to 3 decimal places.) 1.8142 -0.2035 0.8319 -3.1947 %) of the estimates are within the value of se of the actual rate Se
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