1. Verify how the ratio of 57% is calculated. Based on analysis of ratio data, identify (count/sort) teams that have ratio of 57% or higher. Discuss how NBA can use this information and mean and median of ratios to justify salary cap of lower than 57%?
2. Construct the correlation matrix of 5 variables: rank, revenue, players' expenses, operating income, and Exp/Revenue ratio. Discuss the relationship between 5 variables based on the correlation matrix and rank them from high to low based on absolute value. What variable is the best indicator of team's ranking
3. Construct the histogram of three data sets using bins of (90, 130, ..., 250) for Revenue, and (50, 60, 70,...,100, 110) for player expenses, and (-20, -10, 0, 10, 20, ...,60, 70, 80) for operating incomes. Discuss the shape of each data set. Do these histograms verify shapes in part (a)?