Chapter 14, Problem 21CE

a.

To determine

Explain whether there is a linear relationship between the screen size and price.

b.

To determine

Find the dependent variable.

c.

To determine

Find the regression equation and interpret the value of the slope of the regression equation.

d.

To determine

Perform a regression analysis using a “dummy” variable.

Also explain whether some manufactures can command a premium price.

e.

To determine

Perform individual tests of each independent coefficient.

f.

To determine

Provide a residual plot.

Also explain whether the residual follows normal distribution.

g.

To determine

Plot the residual plot.

Explain whether the plot reveals same amount of variation.