12.3 Performing Linear Regressions with Technology 1. An economist is trying to understand whether there is a strong link between CEO pay ration and corporate revenue. The economist gathers data, including the CEO pay ratio and the corporate revenue for 10 companies for a particular year. The pay ratio data is reported by the companies themselves and represents the ratio of CEO compensation to the median employee salary. The data has been reproduced in the table below. Corporate Revenue (million $) 286 321 268 183 236 259 CEO 944 309 132 264 Revenue 21,973 29,846 38,507 18,912 25,947 97,023 35,888 59,131 60,579 27,242 a) What is the equation of the line of best fit? b) What is "r "and determine if it is a strong, moderate, or weak correlation. 2. A market researcher looked at the quarterly sales revenue (in millions of dollars) for a large e- commerce store and for a large brick-and-mortar retailer over the same period. The researcher recorded the revenue in millions of dollars for 10 quarters. This sample data is in the table below. E-commerce 1043 1140 1471 1620 1766 2062 2107 2016 Brick-and- 17.25 14.75 12.97 13.99 Mortar 1847 2175 13.71 14 13.62 13.54 13.52 13.51 a) What is the equation of the line of best fit? b) What is "r "and determine if it is a strong, moderate, or weak correlation. 3. The governor of a state has put together a team tasked with determining factors that account for the number of children living in poverty within the state. The team wants to know if the number of children in living in poverty in a town is proportional to the population of the town, so they look at the population and number of children in poverty for d10 towns in the state. The data is reported in the table below. Population 41,788 Children 992 8,767 41 59,376 2,920 2,862 702 17 31 16,344 9,099 114 170 92,513 10,354 31,705 1,239 105 625 a) What is the equation of the line of best fit? b) What is "r "and determine if it is a strong, moderate, or weak correlation