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We are studying mutual bond funds for the purpose of investing in several funds. For this particular study, we want to focus on the

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We are studying mutual bond funds for the purpose of investing in several funds. For this particular study, we want to focus on the assets of a fund and its five-year performance. The question is: Can the five-year rate of return be estimated based on the assets of the fund? Nine mutual funds were selected at random, and their assets and rates of return are shown below: Assets Fund ($ millions) Return (%) Assets Return ($ Fund (%) millions) AARP High Quality Bond $622.20 10.80 MFS Bond A $494.50 11.60 Babson Bond L 160.40 11.30 Nichols Income 158.30 9.50 Compass Capital Fixed Income Galaxy Bond Retail Keystone Custodian B-1 433.20 437.90 275.70 11.40 9.10 9.20 T. Raive Price Short-term Thompson Income B 681.00 8.20 241.30 6.80 a. Draw a scatter diagram. Scatter Diagram x=622.2 Return 20 15- x=160.4 x=275.7 x=433.2 10 x=437.9 5-

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