Question

A student asked 7 random people that graduated last year their GPA and starting salary. The following table includes the responses:

GPA Starting Salary ($ in thousands) 1 2.05 $                     38 2 2.15 $                     40 3 2.53 $                    46 4 2.68 $                    43 5 3.12 $                     55 6 3.33 $                     55 7 3.65 $                     62

1. What is the coefficient of correlation?

a) -0.9857

b) -0.5854

c) 0.5854

d) 0.9857

2.  What is the slope of the regression equation?

a) 5.85

b) 7.81

c) 16.78

d) 67.85

3.  What is the regression equation?

a) GPA=7.81 + 14.57*$Starting Salary

b) GPA = 16.58+0.648*$Starting Salary

c) $Starting Salary=0.6048 + 16.58*GPA

d) $Starting Salary = 14.57 +7.81*GPA

3. Based on the data above what does the R² correlation coefficient indicate?

a) There is a positive linear relationship between GPA and starting salary.

b) This is not a good model for this data.

c) This is a fairly strong model for this data.

d) Both a and c.

Answer 1

Solution:

1. option d) 0.9857

2. option c) 16.78

3. option a) GPA=7.81 + 14.57*$Starting Salary

4. d) Both a and c.

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The correlation coefficient :

The regression equation :