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A small firm negotiates an annual pay rise with each of its 12 employees. In an attempt to simplify the process, it was proposed that

  1. A small firm negotiates an annual pay rise with each of its 12 employees. In an attempt to simplify the process, it was proposed that each employee should be given a score (X) based on his/her level of responsibility.

EMPLOYEE

SCORE

ANNUAL SALARY

A

10

5750

B

55

17300

C

46

14750

D

27

8200

E

17

6350

F

12

6150

G

85

18800

H

64

14850

I

36

9900

J

40

11000

K

30

9150

L

37

10400

  1. Plot the data on scatter diagram.
  2. Determine the Pearson's correlation coefficient.
  3. Conduct a complete regression analysis.

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