A financial analyst is examining the relationship between stock prices and earnings per share. She chooses fifteen publicly traded companies at random and records for each the company's current stock price and the company's earnings per share reported for the previous year. Her data are given below, with x denoting the earnings per share from the previous year and y denoting the current stock price (both in dollars). A scatter plot of her data is shown in Figure 1. Earnings per share, x (in dollars) 40.95 26.87 22.43 38.47 42.01 29.78 58.65 34.81 58.99 19.67 12.97 41.09 49.40 31.48 36.16 Send data to calculator Current stock price, y (in dollars) 1.15 0.96 0.54 1.53 1.58 1.40 2.79 1.82 2.14 0.91 0.57 1.74 1.57 0.79 1.25 Send data to Excel Current stock price (in dollars) 3- 2.5 Figure 1 2- 1.5- ti 0.5 0 20 (b) What is the value of the sample correlation coefficient for these data? Round your answer to at least three decimal places. (a) What is the value of the y-intercept of the least-squares regression line for these data? Round your answer to at least three decimal places. X Earnings per share (in dollars) 50 The least-squares regression line for these data has a slope of approximately 0.040. Answer the following. Carry your intermediate computations to at least four decimal places, and round your answers as specified below. (If necessary, consult a list of formulas.) S 60 X
A financial analyst is examining the relationship between stock prices and earnings per share. She chooses fifteen publicly traded companies at random and records for each the company's current stock price and the company's earnings per share reported for the previous year. Her data are given below, with x denoting the earnings per share from the previous year and y denoting the current stock price (both in dollars). A scatter plot of her data is shown in Figure 1. Earnings per share, x (in dollars) 40.95 26.87 22.43 38.47 42.01 29.78 58.65 34.81 58.99 19.67 12.97 41.09 49.40 31.48 36.16 Send data to calculator Current stock price, y (in dollars) 1.15 0.96 0.54 1.53 1.58 1.40 2.79 1.82 2.14 0.91 0.57 1.74 1.57 0.79 1.25 Send data to Excel Current stock price (in dollars) 3- 2.5 Figure 1 2- 1.5- ti 0.5 0 20 (b) What is the value of the sample correlation coefficient for these data? Round your answer to at least three decimal places. (a) What is the value of the y-intercept of the least-squares regression line for these data? Round your answer to at least three decimal places. X Earnings per share (in dollars) 50 The least-squares regression line for these data has a slope of approximately 0.040. Answer the following. Carry your intermediate computations to at least four decimal places, and round your answers as specified below. (If necessary, consult a list of formulas.) S 60 X
Big Ideas Math A Bridge To Success Algebra 1: Student Edition 2015
1st Edition
ISBN:9781680331141
Author:HOUGHTON MIFFLIN HARCOURT
Publisher:HOUGHTON MIFFLIN HARCOURT
Chapter9: Solving Quadratic Functions
Section: Chapter Questions
Problem 4CA
Related questions
Question
Transcribed Image Text:A financial analyst is examining the relationship between stock prices and earnings per share. She chooses fifteen publicly traded companies at random and
records for each the company's current stock price and the company's earnings per share reported for the previous year. Her data are given below, with x
denoting the earnings per share from the previous year and y denoting the current stock price (both in dollars). A scatter plot of her data is shown in Figure 1.
Earnings per share, x
(in dollars)
40.95
26.87
22.43
38.47
42.01
29.78
58.65
34.81
58.99
19.67
12.97
41.09
49.40
31.48
36.16
Send data to calculator V
Current stock price, y
(in dollars)
1.15
0.96
0.54
1.53
1.58
1.40
2.79
1.82
2.14
0.91
0.57
1.74
1.57
0.79
1.25
Send data to Excel
Current stock price
(in dollars)
Figure 1
0.5
0
10
(b) What is the value of the sample correlation coefficient for these data?
Round your answer to at least three decimal places.
X
X
(a) What is the value of the y-intercept the least-squares regression line for these data?
Round your answer to at least three decimal places.
50
Earnings per share
(in dollars)
The least-squares regression line for these data has a slope of approximately 0.040.
Answer the following. Carry your intermediate computations to at least four decimal places, and round your answers as specified below. (If necessary, consult a
list of formulas.)
60
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