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Mathematics, 10.04.2021 15:10 KpopJess
A recent article in Business Week listed the "Best Small Companies." We are interested in the current results of the companies' sales and earnings. A random sample of 8 companies was selected and the sales and earnings, in millions of dollars, are reported below. Sales ($million) 89.2 18.6 18.2 71.7 58.6 46.8 17.5 11.9 Earnings ($million) 4.9 4.4 1.3 8 6.6 4.1 2.6 1.7 Let sales be the independent variable and earnings be the dependent variable. (i) Determine the estimated regression equation and comment on the coefficient of X. (ii) For a small company with $50.0 million in sales, estimate the earnings. (iii) Calculate the standard error of estimate and comment on it. (iv) Find the coefficient of determination and interpret the result.
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