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QUESTION 2 In the following set of data, y represents ten finance companies total operating costs (in millions of pounds) for a particular year and
QUESTION 2 In the following set of data, y represents ten finance companies total operating costs (in millions of pounds) for a particular year and x represents the company's assets (in millions of pounds) for the same year. Assets 31 25 10 45 15 20 32 23 14 40 Cost55325234326 i. Draw the scatter diagram to show the above information and comment [10 marks] ii. Find the equation of the least-squares regression line, assuming that operating costs depend on assets. [10 marks] iii. Calculate the correlation coefcient and comment on the result [5 marks] iv. Use your results computed above to calculate the assets of the companies when the cost is 17 and 52 million pounds. [5 marks]
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