7. The personnel department of the ACME Textile Co.

administers an aptitude test to all prospective assemblyline employees. The average number of garments per hour that an employee can produce is approximately proportional to the score received on the aptitude test.

In particular, the relationship is represented by Yi =Xi/3+Si where Yi = average number of garments per hour produced by employee i, Xi = score of employee i on aptitude test,

/3 = proportionality factor, Si = error term, representing the deviation between actual average number of garments per hour produced by employee i and the production level implied by Xi/3.