Answers to final in statistics - Problem 8 In a random...

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Problem 8) In a random sample of eight military contracts involving cost overruns, the following information  was obtained.  x = big price of the contract (in millions of dollars) and y = cost of overrun  (expressed as a percent of the bid price). x 6 10 3 5 9 18 16 21 y 31 25 39 35 29 12 17 8 a)  Draw the scatter diagram for this data. b)  Find the slope, b, and the intercept, a, for the least-squares line.  Write the equation of  the least-squares line. c)  Graph the least-squares line on your scatter diagram. d)  If an overrun contract was bid at 12 million dollars, what does the least-squares line  predict for the cost of overrun (as a percent of bid price)? b) By using the given data we have to find out the least square regression line by using some statistical package we have the following results Regression Analysis: Y versus X The regression equation is Y = 43.0 - 1.68 X Here the slope = -1.68 = b and the intercept = 43 = a c)

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d) the regression equation is Y = 43.0 - 1.68 X
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