Question
A study was recently performed by the Internal Revenue Service to determine how much tip income waiters and waitresses should make based on the size
A study was recently performed by the Internal Revenue Service to determine how much tip income waiters and waitresses should make based on the size of the bill at each table. A random sample of bills and resulting tips were collected. These data are shown as follows:
| Total Bill | Tip |
| $126 | $19 |
| $58 | $11 |
| $86 | $20 |
| $20 | $3 |
| $59 | $14 |
| $120 | $30 |
| $14 | $2 |
| $17 | $4 |
| $26 | $2 |
| $74 | $16 |
Based upon these data, what is the approximate predicted value for tips if the total bill is $100?
Step by Step Solution
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There are 3 Steps involved in it
Step: 1
To approximate the predicted value for tips if the total bill is 100 we can use simple linear regres...
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Statistics For Business Decision Making And Analysis
Authors: Robert Stine, Dean Foster
2nd Edition
978-0321836519, 321836510, 978-0321890269
