EBK STATISTICS FOR BUSINESS & ECONOMICS
EBK STATISTICS FOR BUSINESS & ECONOMICS
12th Edition
ISBN: 9780100460461
Author: Anderson
Publisher: YUZU
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Chapter 16.1, Problem 3E

a.

To determine

Decide whether there appears to be linear relationship between x and y.

b.

To determine

Construct the estimated regression equation that relates x and y.

c.

To determine

Plot the standardized residual versus the y^ for the estimated regression equation developed.

Explain whether the model assumptions appear to be satisfied.

d.

To determine

Perform a logarithmic transformation on the variable y.

Construct the estimated regression equation using the transformed dependent variable.

Decide whether the model assumptions appear to be satisfied by using the transformed dependent variable.

Explain whether a reciprocal transformation works better in this case.

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3. Consider the following data for two variables, x and y. 3 4 5 7 7 7 8 9. y 4 4 6 4 6 9 5 11 Does there appear to be a linear relationship between x and y? Explain. b. Develop the estimated regression equation relating x and y. Plot the standardized residuals versus ŷ for the estimated regression equation devel- oped in part (b). Do the model assumptions appear to be satisfied? Explain. d. Perform a logarithmic transformation on the dependent variable y. Develop an esti- mated regression equation using the transformed dependent variable. Do the model assumptions appear to be satisfied by using the transformed dependent variable? Does a reciprocal transformation work better in this case? Explain. а. с.
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EBK STATISTICS FOR BUSINESS & ECONOMICS

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