Statistics for Business & Economics (with XLSTAT Education Edition Printed Access Card) (MindTap Course List)
13th Edition
ISBN: 9781305585317
Author: David R. Anderson, Dennis J. Sweeney, Thomas A. Williams, Jeffrey D. Camm, James J. Cochran
Publisher: Cengage Learning
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Chapter 14, Problem 67SE
The Transactional Records Access Clearinghouse at Syracuse University reported data showing the odds of an Internal Revenue Service audit. The following table shows the average adjusted gross income reported and the percent of the returns that were audited for 20 selected IRS districts.
| District | Adjusted Gross Income ($) |
Percent Audited |
| Los Angeles | 36,664 | 1.3 |
| Sacramento | 38,845 | 1.1 |
| Atlanta | 34,886 | 1.1 |
| Boise | 32,512 | 1.1 |
| Dallas | 34,531 | 1.0 |
| Providence | 35,995 | 1.0 |
| San Jose | 37,799 | 0.9 |
| Cheyenne | 33,876 | 0.9 |
| Fargo | 30,513 | 0.9 |
| New Orleans | 30,174 | 0.9 |
| Oklahoma City | 30,060 | 0.8 |
| Houston | 37,153 | 0.8 |
| Portland | 34,918 | 0.7 |
| Phoenix | 33,291 | 0.7 |
| Augusta | 31,504 | 0.7 |
| Albuquerque | 29,199 | 0.6 |
| Greensboro | 33,072 | 0.6 |
| Columbia | 30,859 | 0.5 |
| Nashville | 32,566 | 0.5 |
| Buffalo | 34,296 | 0.5 |
- a. Develop the estimated regression equation that could be used to predict the percent audited given the average adjusted gross income reported.
- b. At the .05 level of significance, determine whether the adjusted gross income and the percent audited are related.
- c. Did the estimated regression equation provide a good fit? Explain.
- d. Use the estimated regression equation developed in part (a) to calculate a 95% confidence interval for the expected percent audited for districts with an average adjusted gross income of $35,000.
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The following table gives the state taxes (in dollars) on a pack of cigarettes for nine states as of April 1, 2009.
State
State Tax
(in dollars)
Alaska
2.00
Iowa
1.36
Massachusetts
2.51
Missouri
0.17
New Hampshire
1.33
New York
2.75
Ohio
1.25
South Carolina
0.07
West Virginia
0.55
How many observations are in this data set?
Raw Data:
{3.5,2.7,1.6,2.9,1.7,5.3,7.5,8.2,4.6,1.3,4.7,9.4,7.6,3.9,3.2,8.1,4.9,5.7,2.6,3.2,6.5,4.8,3.5,4.8,9.2,4.9,1.1,2,6.4,7.1}{3.5,2.7,1.6,2.9,1.7,5.3,7.5,8.2,4.6,1.3,4.7,9.4,7.6,3.9,3.2,8.1,4.9,5.7,2.6,3.2,6.5,4.8,3.5,4.8,9.2,4.9,1.1,2,6.4,7.1}
The gap between the first and second class is 0.1. What number should you subtract from each lower limit and add to each upper limit to find the class boundaries? 0.12=0.12=Answer
Class
Lower Class Boundary
Upper Class Boundary
1.1−2.71.1−2.7
1.1−0.05=1.051.1−0.05=1.05
2.7+0.05=2.752.7+0.05=2.75
2.8−4.42.8−4.4
2.8−0.05=2.8−0.05= Answer
4.4+0.05=4.454.4+0.05=4.45
4.5−6.14.5−6.1
Answer −0.05=4.45−0.05=4.45
6.1+0.05=6.156.1+0.05=6.15
6.2−7.86.2−7.8
6.2−6.2− Answer =6.15=6.15
7.8+0.05=7.8+0.05= Answer
7.9−9.57.9−9.5
Answer Answer Answer =7.85=7.85
Answer +0.05=9.55+0.05=9.55
In 2011 home prices and mortgage rates dropped so low that in a number of cities the monthly cost of owning a home was less expensive than renting. The following data show the average asking rent for 10 markets and the monthly mortgage on the median priced home (including taxes and insurance) for 10 cities where the average monthly mortgage payment was less than the average asking rent (The Wall Street Journal, November 26–27, 2011).Click on the datafile logo to reference the data.
Enter negative values as negative numbers.
a. Develop the estimated regression equation that can be used to predict the monthly mortgage given the average asking rent (to 2 decimals).The regression equation is:Mortgage ($) = + Rent ($)
Chapter 14 Solutions
Statistics for Business & Economics (with XLSTAT Education Edition Printed Access Card) (MindTap Course List)
Ch. 14.2 - Given are five observations for two variables, x...Ch. 14.2 - Given are five observations for two variables, x...Ch. 14.2 - Given are five observations collected in a...Ch. 14.2 - The following data give the percentage of women...Ch. 14.2 - Brawdy Plastics, Inc., produces plastic seat belt...Ch. 14.2 - The National Football League (NFL) records a...Ch. 14.2 - A sales manager collected the following data on...Ch. 14.2 - The American Association of Individual Investors...Ch. 14.2 - Prob. 9ECh. 14.2 - On March 31, 2009, Ford Motor Companys shares were...
Ch. 14.2 - To help consumers in purchasing a laptop computer,...Ch. 14.2 - Concur Technologies, Inc., is a large...Ch. 14.2 - To the Internal Revenue Service, the...Ch. 14.2 - A large city hospital conducted a study to...Ch. 14.3 - The data from exercise 1 follow. xi 1 2 3 4 5 yi 3...Ch. 14.3 - The data from exercise 2 follow. xi 3 12 6 20 14...Ch. 14.3 - The data from exercise 3 follow. xi 2 6 9 13 20 yi...Ch. 14.3 - The following data show the brand, price (), and...Ch. 14.3 - In exercise 7 a sales manager collected the...Ch. 14.3 - Bicycling, the worlds leading cycling magazine,...Ch. 14.3 - An important application of regression analysis in...Ch. 14.3 - Refer to exercise 9, where the following data were...Ch. 14.5 - The data from exercise 1 follow. xi 1 2 3 4 5 yi 3...Ch. 14.5 - The data from exercise 2 follow. xi 3 12 6 20 14...Ch. 14.5 - The data from exercise 3 follow. xi 2 6 9 13 20 yi...Ch. 14.5 - In exercise 18 the data on price () and the...Ch. 14.5 - To identify high-paying jobs for people who do not...Ch. 14.5 - In exercise 8 ratings data on x = the quality of...Ch. 14.5 - Refer to exercise 21, where data on production...Ch. 14.5 - Refer to exercise 9, where the following data were...Ch. 14.5 - In exercise 20, data on x = weight (pounds) and y...Ch. 14.6 - The data from exercise 1 follow. xi 1 2 3 4 5 yi 3...Ch. 14.6 - The data from exercise 2 follow. xi 3 12 6 20 14...Ch. 14.6 - The data from exercise 3 follow. xi 2 6 9 13 20 yi...Ch. 14.6 - The following data are the monthly salaries y and...Ch. 14.6 - In exercise 7, the data on y = annual sales (...Ch. 14.6 - In exercise 13, data were given on the adjusted...Ch. 14.6 - Refer to exercise 21, where data on the production...Ch. 14.6 - In exercise 12, the following data on x = average...Ch. 14.7 - The commercial division of a real estate firm is...Ch. 14.7 - Following is a portion of the computer output for...Ch. 14.7 - A regression model relating x, number of...Ch. 14.7 - A 2012 suvey conducted by Idea Works provided data...Ch. 14.7 - Automobile racing, high-performance driving...Ch. 14.8 - Given are data for two variables, x and y. xi 6 11...Ch. 14.8 - The following data were used in a regression...Ch. 14.8 - Data on advertising expenditures and revenue (in...Ch. 14.8 - Refer to exercise 7, where an estimated regression...Ch. 14.8 - In 2011 home prices and mortgage rates dropped so...Ch. 14.9 - Consider the following data for two variables, x...Ch. 14.9 - Consider the following data for two variables, x...Ch. 14.9 - Charity Navigator is Americas leading independent...Ch. 14.9 - Many countries, especially those in Europe, have...Ch. 14.9 - Prob. 54ECh. 14 - Does a high value of r2 imply that two variables...Ch. 14 - In your own words, explain the difference between...Ch. 14 - What is the purpose of testing whether 1 = 0? If...Ch. 14 - The Dow Jones Industrial Average (DJIA) and the...Ch. 14 - Is the number of square feet of living space a...Ch. 14 - One of the biggest changes in higher education in...Ch. 14 - Jensen Tire Auto is in the process of deciding...Ch. 14 - In a manufacturing process the assembly line speed...Ch. 14 - A sociologist was hired by a large city hospital...Ch. 14 - The regional transit authority for a major...Ch. 14 - A marketing professor at Givens College is...Ch. 14 - The Transactional Records Access Clearinghouse at...Ch. 14 - The Toyota Camry is one of the best-selling cars...Ch. 14 - You have been assigned to analyze the risk...Ch. 14 - As part of a study on transportation safety, the...Ch. 14 - Consumer Reports tested 166 different...Ch. 14 - Finding the Best Car Value When trying to decide...Ch. 14 - Buckeye Creek Amusement Park is open from the...
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