GM533 PROJECT PART C: Regression and Correlation Analysis 1. 2. The equation of the ‘best fit’ line which describes the relationship between credit balance(y) vs size(X) is given as follows: y = 404.13x + 2581.9 3. The coefficient of correlation = 0.752483 Correlation coefficient, r is a measure of the degree of correlation or interdependence between two variables. The value of the correlation coefficient can range between -1 and +1. A negative value
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1. Subsequent to the selection of the optimal regression relationship and the computation of the regression prediction equation, a) b) c) d) Residual analysis should be performed in relation to the independent variable. No further analysis is necessary; you use the model for prediction. Residual analysis should be performed in relation to the dependent variable. Plots of the residuals should be checked to make certain that every observation was given full consideration. 2. The smallest value that
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testing and regression techniques. There is an appendix in your textbook, Appendix C: Using Excel to Conduct Analysis, which may help you with running regressions in Microsoft Excel. You may also wish to use a basic statistics text for guidance if needed. I have also provided you with a table with the t distribution. If you have an older version of EXCEL and have not previously loaded the Analysis ToolPak, go to TOOLS, ADD-INS, Analysis Tool Pak. This will load the regression software that
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C h a p t e r One The Nature of Econometrics and Economic Data C hapter 1 discusses the scope of econometrics and raises general issues that result from the application of econometric methods. Section 1.3 examines the kinds of data sets that are used in business, economics, and other social sciences. Section 1.4 provides an intuitive discussion of the difficulties associated with the inference of causality in the social sciences. 1.1 WHAT IS ECONOMETRICS? Imagine
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Table of Contents 1.0 Introduction 4 2 Research Methods 4 3 Hypothesis Testing 5 3.1 Hypothesis 1 – Average Income level 5 Descriptive Statistics 5 Hypothesis of the test 5 Statistical Findings 6 Interpretation of results 6 3.2 Question 2: Satisfaction level between gender 7 Descriptive statistics 7 Hypothesis 7 Method used and nature of the test 7 Reporting of statistical analysis 8 Interpretation of results 8 3.3 Question 3: Difference between satisfaction levels across business
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Part 1. Basic Concepts of Statistics Basic Concepts of Statistics • Every four years, we suffer through an affliction, the presidential election. • Months before the election, public media will inform us that a poll conducted by the opinion research shows that a candidate gains support of more than 50 percent of voters. 1 2 Basic Concepts of Statistics • However, the high percent of support will be with a margin of error of plus or minus 3%. • What is meant by the term margin of error
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General Lectures 1-4 What is statistics? Discipline: collecting, classifying, summarizing, organizing, analyzing and interpreting numerical information. -A means to answer research questions (and to test hypothesis). -No scientific proof: make plausible through empirical data with an empirical observed result. Shape and skewness: Negatively skewed: mean < median Symmetry: mean = median Positively skewed: mean > median Mode = the score that occurs most frequently. Median = middle score when
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From those random samples, I used the percentage of dropouts, the size of the population density, and the percentage of residents living in urban areas per state to compare to the percentage of property crimes being committed in the U.S. Multiple Regression Output: * I identified the individual p-value to test the significance of each of the
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Q3 What process is used to estimate future costs? Q4 How are the engineered estimate, account analysis, and two-point methods used to estimate cost functions? Q5 How does a scatter plot assist with categorizing a cost? Q6 How is regression analysis used to estimate a mixed cost function? Q7 What are the uses and limitations of future cost estimates? These learning questions (Q1 through Q7) are cross-referenced in the textbook to individual exercises and problems. COMPLEXITY
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allows us to see which way the scale would move if we increase the sizes or decrease or sizes. APPENDIX A As you look at this graph you can see that as the size get bigger the credit balance increase also, so as you move to the right and up the linear line will move diagonal higher. The equation of the “best fit line” is y= 2591.4x+403.22. The coefficient of correlation equals .752442. The correlation coefficient is a number between 0 and 1. If there is no relationship between the predicted
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