Question

Listed below are the data for a local radio station. This shows the number of weekly radio advertisements and the projected weekly sales resulting (adjusted by industry). Weekly Radio Spots Sales

Weekly Radio Spots	Sales ($100s)
4	75
10	85
2	62
6	81
8	81
2	57
10	95
6	72
8	89
4	69

a. Show the data in a scatterplot, to demonstrate the relationship between the two variables.

b. Compute and interpret the correlation coefficient.

Answer 1

Answer:

Given that:

weekly radio spots	sales ($100s)
4	75
10	85
2	62
6	81
8	81
2	57
10	95
6	72
8	89
4	69

(a) Show the data in a scatterplot, to demonstrate the relationship between the two variables.

The scatterplot of the variables

From the scatter plot we can say that there is linear relationship between two variables.

Because as the number of weekly radio advertisements increases the projected weekly sales(y) also increases.

(b) Compute and interpret the correlation coefficient.

Correlation is given by

The correlation coefficient(r) = 0.924856

As the correlation coefficient (r) is close to 1.We can say that, there is strong linear relationship between number of weekly radio advertisements and the projected weekly sales resulting.