The accompanying data represent the annual rates of return of two companies' stock for the past 12 years. Complete parts (a) through (k). (a) Draw a scatter diagram of the data treating the rate of return of Company 1 as the explanatory variable. Choose the correct graph below. O A. O B. 0.50 0.30- RR of Company 1 RR of Company 1 0.00- 0.00- -0.50- -0.30- -0.3 0.0 0.3 -0.5 0.0 0.5 RR of Company 2 RR of Company 2 O C. OD. 0.50 0.50- RR of Company 2 RR of Company 2 0.00- 0.00- -0.50- -0.50- -0.3 0.0 0.3 -0.3 0.0 0.3 RR of Company 1 RR of Company 1 (b) Determine the correlation coefficient between rate of return of Company 1 and Company 2. The correlation coefficient is. (Round to three decimal places as needed.) (c) Based on the scatter diagram and correlation coefficient, is there a linear relation between rate of return of Company 1 and Company 2? O Yes O NoThe accompanying data represent the annual rates of return of two companies' stock for the past 12 years. Complete parts (a) through (k). (d) Find the least-squares regression line treating the rate of return of Company 1 as the explanatory variable. y= [x+ 0 (Round to four decimal places as needed.) (e) Predict the rate of return of Company 2 if the rate of return of Company 1 is 0.1 (10%). The rate of return of Company 2 will be (Round to four decimal places as needed.) (f) If the actual rate of return for Company 2 was 12.5% when the rate of return of Company 1 was 10%, was the performance of Company 2 above or below average among all years the returns of Company 1 were 10%? Below average O Above average (g) Interpret the slope. For each percentage point increase in the rate of return for Company 1, the rate of return of Company 2 will by about percentage points, on average. (Round to two decimal places as needed.) (h) Interpret the y-intercept. O A. The y-intercept indicates that the rate of return for Company 2 will be when the rate of return for Company 1 is 0. (Round to four decimal places as needed.) O B. The y-intercept indicates that the rate of return for Company 1 will be when the rate of return for Company 2 is 0. (Round to four decimal places as needed.) O C. There is no meaningful interpretation for the intercept.(i) What proportion of the variability in the rate of return of Company 2 is explained by the variability in the rate of return of Company 1? The proportion of the variability is%. (Round to one decimal place as needed.) (j) Plot residuals against the rate of return of Company 1. Choose the correct graph below. O A. OB. 0.20- 0.30- Residual 0.10- Residual 0.20- 0.00- -0.3 0.0 0.3 0.10- -0.3 RR of Company 1 0.0 0.3 RR of Company 1 O C. 0.15- O OD. 0.25- 0.00- Residual Residual 0.00- -0.25- -0.3 0.0 0.3 -0.15- -0.3 0.0 0.3 RR of Company 1 RR of Company 1Critical Values of the Correlation Coefficient Critical Values for Correlation Coefficient n 3 0.997 4 0.950 5 0.878 6 0.811 7 0.754 - X e. Choo 8 0.707 Data Table 9 0.666 10 0.632 11 0.602 12 0.576 13 0.553 Year Rate of Return of Company Rate of Return of Company 14 0.532 2 15 0.514 2007 0.203 0.402 16 0.497 2008 0.310 0.510 17 0.482 2009 0.267 0.410 18 0.468 19 0.456 2010 0.195 0.426 20 0.444 2011 -0.101 -0.060 21 0.433 2012 -0.130 - 0.161 22 0.423 2013 - 0.234 -0.377 23 0.413 2014 0.264 0.328 24 0.404 2015 0.090 0.207 25 0.396 26 0.388 2016 0.030 - 0.014 27 0.381 2017 0.128 0.113 28 0.374 2018 -0.035 0.027 29 0.367 30 0 361 Print Done m of Co Print DoneDoes the residual plot confirm that the relation between the rate of return of Company 1 and Company 2 is linear? No O Yes (k) Are there any years where the rate of return of Company 2 was unusual? O Yes O No