To develop a compensation plan designed to eliminate pay inequities, a sample of benchmark jobs are evaluated and assigned points, x, based on factors such a\

responsibility, skill, effort, and working conditions. One market survey was conducted to determine the market rates (or salaries), y, of the benchmark jobs (Public Personnel Management, Vol. 20, 1991). The table on page 555 gives the job evaluation points and salaries for a set of 21 benchmark jobs.

a. Construct a scattergram for these data. What does it suggest about the relationship between salary and job evaluation points?

b. The SAS printout on p. 554 shows the results of a straight-line model fit to these data. Identify and interpret the least squares equation.

c. Interpret the value of r2 for this least squares equation.

d. Is there sufficient evidence to conclude that a straight-line model provides useful information about the relationship in question? Interpret thepvalue for this test.

e. A job outside the set of benchmark jobs is evaluated and receives a score of 800 points. Under the compa rable-worth plan, what is a reasonable range within which a fan salary for this job should be found?