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C) ? ASSIGNMENT-7: (CH1 x Chegg Study Guided Solut O ezto.mheducation.com/hm.tpx

ID: 3067461 • Letter: C

Question

C) ?

ASSIGNMENT-7: (CH1 x Chegg Study Guided Solut O ezto.mheducation.com/hm.tpx The owner of Maumee Motors wants to study the relationship between the age of a car and its selling price. Listed below is a random sample of 12 used cars sold at Maumee Motors during the last year. Selling Price (5 Selling Price (5 Car Age (years)thousands) Car Age (years) thousands) 10 14 12 3.8 3.5 4.8 3.1 8.2 3.0 $4.5 3.7 5.3 6.4 5.4 6.4 15 14 14 12 Determine the correlation coefficient (Negative answer should be indicated by a minus sign. Round the final answer to 3 decimal places.) a. 4732 b. Determine the coefficient of determination. (Round the final answer to 3 decimal places.) 2239 Interpret these statistical measures. Does it surprise you that an inverse relationship exists? (Round the final answer to the nearest whole number.) c. 66 percent of Weak negative (inverse) correlation between age of car and selling price. So, the variation in the selling price is explained by the variation in the age of the car References eBook & Resources Workshe O Type here to search 3:01 PM 2018-03-27 ENG

Explanation / Answer

66 % is incorrect. It should be 22.39% instead as r square = (0.473)^2=0.2239

hence 22.39 % of the variation in the selling price is explained by the variation in the age of the car. The other 77.61% of the variation in the selling price remains unexplained.