Each year US News& World Report conducts its \"Survey of America\'s Best Graduat

Question

Each year US News& World Report conducts its "Survey of America's Best Graduate and Professional Schools" The top 25 business schools in 1991, as determined by reputation, student selectivity placement success and graduate rate are listed in the table. For each school, three variables were measured (1) GMAT score for the typical incoming student (2) student acceptance rate percentage accepted of all students who applied (3) starting salary of the typical graduating student. The academic advisor wants to predict the typical starting salary at a top business school using GMAT score of the school as a predictor variable. A simple linear regression of SALARY versus GMAT using 25 data points and shown below. For the situation above, write the equation of the least squares line SALARY = 228 + 92040 (GMAT) GMAT = 228 - 92040 (SALARY) GMAT = -92040 + 228 (SALARY) SALARY = -92040 + 228 (GMAT)

Explanation / Answer

The predictor is GMAT and response variable is SALARY

The equation of regression is :

response variable = ^o + ^1 * Predictor variable

Where:

^o = regression cosntant

^1 = Slope of regression line

Thus we get:

Salary = -92040 + 228 (GMAT)

.

Hence the correct option is : D

Related Questions

Navigate

• Browse (All)
• Browse E
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.