35 Callaway College is a small business school that offers an MBA program. The main entrance criterion

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35 Callaway College is a small business school that offers an MBA program. The main entrance criterion for admission to the MBA program is the Common Business Admission Test (CBAT) score. The following table provides the GPAs of 12 students who have graduated recently, along with their CBAT scores and ages:

STUDENT GPA CBAT AGE 1 3.70 690 34 2 3.00 610 29 3 3.25 480 24 4 4.00 740 39 5 3.52 580 30 6 2.83 460 27 7 3.80 570 35 8 4.00 620 42 9 3.65 750 24 10 3.47 510 30 11 3.33 550 27 12 3.75 700 28

(a) Develop a simple regression model to predict the GPA of a student based on his or her CBAT score.

(b) Identify and interpret the R2 value.

(c) A new graduate student has a CBAT score of 630. Construct a 90% confidence interval for this student’s predicted GPA.

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