Let x be the average number of employees in a group health insurance plan, and let y be the average administrative cost as a percentage of claims. x 3 7 15 34 74 y 40 37 34 28 17 USE SALT (a) Make a scatter diagram of the data and visualize the line you think best fits the data. y (average cost as percentage) y (average cost as percentage) 40 35 30 25 20 10 35 30 25 20 10 20 30 40 50 60 x (average number of employees) 70 20 30 40 50 60 70 x (average number of employees) y (average cost as percentage) y (average cost as percentage) 40 35 30 25 20 40 35 30 25 20 10 20 30 40 50 60 x (average number of employees) 10 20 30 40 50 60 70 x (average number of employees) (b) Would you say the correlation is low, moderate, or strong? positive or negative? low and negative moderate and positive strong and negative low and positive moderate and negative strong and positive (c) Use a calculator to verify that x = 133, 2x = 6,915, Zy = 156, y = 5,198, and Exy = 3,099. Compute r. (Round your answer to four decimal places.) =J As x increases, does the value of r imply that y should tend to increase or decrease? Explain. Given our value of r, y should tend to remain constant as x increases. Given our value of r, we cannot draw any conclusions for the behavior of y as x increases. 70