The Internet Movie Database (www.imdb.com) monitors the gross revenues for all major motion pictures. The accompanying table

Question:

The Internet Movie Database (www.imdb.com) monitors the gross revenues for all major motion pictures. The accompanying table gives both the domestic (United States and Canada) and international gross revenues for a sample of 19 popular movies.

a. Write a first-order model for foreign gross revenues (y) as a function of domestic gross revenues (x).
b. Write a second-order model for international gross revenues y as a function of domestic gross revenues x.
c. Construct a scatter plot for these data. Which of the models from parts a and b appears to be the better choice for explaining the variation in foreign gross revenues?
d. Fit the model of part b to the data and investigate its usefulness. Is there evidence of a curvilinear relationship between international and domestic gross revenues? Try using Î± = .05.
e. Based on your analysis in part d, which of the models from parts a and b better explains the variation in international gross revenues? Compare your answer to your preliminary conclusion from part c.