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Suppose, hypothetically, the following data were the amounts of foreign capital inflows (denoted by ), in millions of Pula at different interest rates (denoted by

Suppose, hypothetically, the following data were the amounts of foreign capital inflows (denoted by ), in millions of Pula at different interest rates (denoted by ), in percent, for Botswana, South Africa, Namibia, Lesotho and Swaziland for the period of January 2014. The data are divided into 4 groups, by interest rate levels (6, 7, 8, 9) Amounts of Foreign Capital Inflows at Different Interest Rates Interest Rate 6 7 8 9

Capital Inflows 15 17 18 19 22

20 21 23 25 29 30 27 29 32

35 31 37 34 36

(i) Rounding off the relevant numbers to 1 decimal point, construct and explain the graph for the PRF equation for capital flows explained by interest rate.

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