A social scientist would like to analyze the relationship between educational attainment (in years of higher education) and annual salary (in $1,000s). He collects data on 20 individuals. A portion of the data is as follows: Salary Education 33 5 55 3 ⋮ ⋮ 30 0 1. Find the sample regression equation for the model: Salary = β0 + β1Education + ε. 2. What is the predicted salary for an individual who completed 6 years of higher education?
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A social scientist would like to analyze the relationship between educational attainment (in years of higher education) and annual salary (in $1,000s). He collects data on 20 individuals. A portion of the data is as follows: Salary Education 43 7 49 7 85 5 43 1 67 7 51 2 109 5 46 0 38 3 54 5 91 5 44 7 63 5 58 3 143 9 43 0 79 7 71 3 133 9 35 0 a. Find the sample regression equation for the model: Salary = β0 + β1Education + ε. (Round answers to 3 decimal places.) Salary=_____+______Education b. Interpret the coefficient for Education. As Education increases by 1 year, an individual’s annual salary is predicted to increase by $8,590. As Education increases by 1 year, an individual’s annual salary is predicted to decrease by $8,590. As Education increases by 1 year, an individual’s annual salary is predicted to increase by $6,676. As Education increases by 1 year, an individual’s annual salary is predicted to decrease by $6,676. c. What is the predicted salary for an individual who completed 7 years of higher education? (Round answer to the nearest whole number.)
Madhur L.
A social scientist would like to analyze the relationship between educational attainment (in years of higher education) and annual salary (in $1,000s). He collects data on 20 individuals. A portion of the data is as follows: Salary Education 35 4 71 1 84 3 52 3 70 7 80 5 107 9 55 0 23 4 33 6 102 6 40 4 67 2 68 5 163 9 55 0 83 8 56 3 125 11 31 0 a. Find the sample regression equation for the model: Salary = β0 + β1Education + ε. (Round answers to 3 decimal places.) Salary = 41.450 + (-8.590)Education b. Interpret the coefficient for Education. As Education increases by 1 unit, an individual’s annual salary is predicted to decrease by $8,590. c. What is the predicted salary for an individual who completed 6 years of higher education? (Round answer to the nearest whole number.) Salary = -8.590(6) + 41.450 = -51.540 + 41.450 = -10.090 ≈ -$10,090
Consider the following estimated regression model relating annual salary to years of education and work experience. Estimated Salary=11,756.80+2723.3(Education)+1092.64(Experience) Suppose an employee with 11 years of education has been with the company for 2 years (note that education years are the number of years after 8th grade). According to this model, what is his estimated annual salary?
Shaiju T.
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