ABCEKLMNA common perception is that airline profits are strongly correlated with the price of oil. The Following are annualnet incomes of American Airlines together with the approximate price of oil in the period 2005-2010:3a. Populate the tableAmerican NetIncome (Smillion) (y)Barrel Oil ($)Yearху(x)4.5.1200556-85062006632507.32007674508.4200892-2100200954-1450106.201071-70011121314b. What is Ex?1516c. What is Ey1718d. What is n?1920e. What is Exy2122£. What is (Ex²)2324g. What is (Ex)2526h. Obtain a regression line (obtain the coefficients) showing American's net income as a function of the price of oil272829303132 i. Obtain the coefficient of correlation r333435Use the data analysis tool in Excel to obtain the coefficients in part 1(h). Copy and Paste your regression output37 below.363839

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uPiline profits are strongly correlated with the price of oil. The Following are annual et incomes of American Airlines together with the approximate price of oil in the period 2005-2010: Populate the table Barrel Oil ($) (x) American Net Income (S Year ху million) (y) 1 2005 56 -850 2006 63 250 2007 67 450 4 2008 92 -2100 5 2009 2010 54 -1450 6 71 -700 b. What is Ex? c. What is Ey d. What is n'? e. What is Exy £. What is (Ex) g. What is (Ex)

uPiline profits are strongly correlated with the price of oil. The Following are annual et incomes of American Airlines together with the approximate price of oil in the period 2005-2010: Populate the table Barrel Oil ($) (x) American Net Income (S Year ху million) (y) 1 2005 56 -850 2006 63 250 2007 67 450 4 2008 92 -2100 5 2009 2010 54 -1450 6 71 -700 b. What is Ex? c. What is Ey d. What is n'? e. What is Exy £. What is (Ex) g. What is (Ex)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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