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ESPN (an American-based global cable and satellite sports television channel) wanted to research on the factors influencing the earnings of high profile sports stars. Among
ESPN (an American-based global cable and satellite sports television channel) wanted to research on the factors influencing the earnings of high profile sports stars. Among the information they collected, the team in ESPN collected data on the pay of 100 sports celebrities (for the year 2014) and the amount of money they made through endorsements. The data are shown in the scatterplot below. ( = 0.773 (a) Identify the explanatory and response variables in the study. (3 marks) (b) Based on the scatterplot and value of correlation coefficient given, describe the relationship between earnings through endorsements and sport celebrities' 2014 pay. Justify your answer. (3 marks) (c) If you were to plot a histogram of the sports celebrities' 2014 pay, will the histogram be almost symmetrical, positively skewed or negatively skewed? Explain why. (2 marks)After removing some data points on the right-hand side of the scatterplot above, a revised scatterplot and its corresponding value of r is given below. Scatterplot of 2014 Pay vs Endorsements [revised) . r = 0.549 TO 20 14 Pay On millions Endorsemims (in milions) Comment on the revised relationship between endorsements earnings and sport celebrities' 2014 pay and what it may imply in ESPN's research
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