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The following table contains the ACT scores and the GPA (Grade Point Average) fo

ID: 3041459 • Letter: T

Question

The following table contains the ACT scores and the GPA (Grade Point Average) for eight college students. GPA is based on 4 point scale with one decimal.

1

(a)Estimate the relationship netween the ACT and GPA by using OLS. That is obtain the intersept and slope estimates in the equation.

What is the direction of the relationship? Is the intercept a useful interperatiation here? Explain. How much higher is GPA predicted to be if ACT raises 5 points.

(b) Compute the fitted values and residuals for each observation and verify that the residuals (approxamiate) sum to zero.

student gpa act

1

2.8 21 2 3.4 24 3 3.0 26 4 3.5 27 5 3.6 29 6 3.0 25 7 2.7 25 8 3.7 30

Explanation / Answer

Answer:

(a)Estimate the relationship netween the ACT and GPA by using OLS. That is obtain the intersept and slope estimates in the equation.

GPA = 0.5681+0.1022*ACT

What is the direction of the relationship?

The relation is positive. (Regression coefficient is positive).

Is the intercept a useful interperatiation here?

No, 0 value of ACT score is out of range of ACT scores.

Explain. How much higher is GPA predicted to be if ACT raises 5 points.

5*0.1022 =0.511

if ACT raises 5 points then GPA increases by 0.511.

Regression Analysis

0.577

n

8

r

0.760

k

1

Std. Error

0.269

Dep. Var.

gpa

ANOVA table

Source

SS

df

MS

F

p-value

Regression

0.5940

1  

0.5940

8.20

.0287

Residual

0.4347

6  

0.0725

Total

1.0288

7  

Regression output

confidence interval

variables

coefficients

std. error

   t (df=6)

p-value

95% lower

95% upper

Intercept

0.5681

0.9284

0.612

.5630

-1.7036

2.8399

act

0.1022

0.0357

2.863

.0287

0.0149

0.1895

(b) Compute the fitted values and residuals for each observation and verify that the residuals (approxamiate) sum to zero.

Observation

gpa

Predicted

Residual

1

2.80

2.71

0.09

2

3.40

3.02

0.38

3

3.00

3.23

-0.23

4

3.50

3.33

0.17

5

3.60

3.53

0.07

6

3.00

3.12

-0.12

7

2.70

3.12

-0.42

8

3.70

3.63

0.07

Total

0.00

Regression Analysis

0.577

n

8

r

0.760

k

1

Std. Error

0.269

Dep. Var.

gpa

ANOVA table

Source

SS

df

MS

F

p-value

Regression

0.5940

1  

0.5940

8.20

.0287

Residual

0.4347

6  

0.0725

Total

1.0288

7  

Regression output

confidence interval

variables

coefficients

std. error

   t (df=6)

p-value

95% lower

95% upper

Intercept

0.5681

0.9284

0.612

.5630

-1.7036

2.8399

act

0.1022

0.0357

2.863

.0287

0.0149

0.1895

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