' Preview File Edit View Go Tools Window A MonOBJun 06:13 Exam uestionsupdf Question 6 [25 marks] A University student is studying ination and money supply. The following statistics were provided to the student. Money supply in rands n Ination 20000 3,41 20000 5,50 21000 4,34 14000 7,31 35000 1.14 14000 8,51 14000 7,37 10000 2,59 21000 4.91 35000 1,59 35000 1,71 21000 4,47 Determine the dependent and independent variables and explain your selection. [3] Find the straight-line regression equation that represent the relationship between the dependent and independent variable. [7] What is the estimated inflation rate associated with a money supply of R31500? [3] What is the money supply level associated with zero inflation rate [3] Calculate and interpret the covariance between money supply and ination rate. [4] Calculate the correlation coefficient between the two-variable displayed in the table? [3] What does the correlation coefficient tell us about the relationship of the two variables in the table above? [2]