Assume you have noted the following prices for paperback boo

Assume you have noted the following prices for paperback books and the number of pages that each book has. Develop a least-squares estimated regression line. Compute the coefficient of determination and explain it\'s meaning. Compute the correlation coefficient between the price and the number of pages. Test to see if (x), and (y) are related. Use a = 0.10? Book Pages (x) Price (y)

A 500 $7.00

B 700 $7.50

C 750 $9.00

D 590 $6.50

E 540 $7.50

F 650 $7.00

G 480 $4.50

Solution

Using technology, we get              
              
slope =    0.009907156          
intercept =    1.041553442          
              
Thus, the regression line is              
              
y^ =    0.009907156x + 1.041553442 [ANSWER, lest squares regression line]

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Also, getting the correlation,              
              
r =    0.750271004   [ANSWER, CORRELATION]      
              
Thus, the coefficient of determination is              
              
r^2 =    0.562906579   [ANSWER, COEFFICIENT OF DETERMINATION]

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As t = r sqrt [(n - 2) / (1 - r^2)], then              
              
t =    2.537558306          
              
As alpha =    0.1          
df =    5          
              
Then              
              
tcrit =    2.015048373          
              
As t > 2.015, then there is significant evidence that x and y are correlated. [CONCLUSION]