The accompanying data table contains financial data for 30 random technology companies. One column gives the expenses on research and development (R&D), and another gives the total assets of the 30 companies. Both of these columns are reported in millions of dollars. The data need to be expressed on a log scale; otherwise, two outlying companies dominate the analysis. Use the natural logs of both variables rather than the original variables in the data table. (Note that the variables are recorded in millions, so 1,000=1 billion.)
Complete parts (a) through (c).
Data set below:
Assets R&D Log Assets Log R&D Log 10 Assets Log 10 R&D
5,758.31 220.59 8.6584 5.3963 3.7603 2.3436
32.42 3.18 3.4787 1.1568 1.5108 0.5024
0.80 0.42 -0.2264 -0.8684 -0.0983 -0.3771
0.71 0.20 -0.3421 -1.6158 -0.1486 -0.7017
0.21 0.12 -1.5804 -2.0986 -0.6864 -0.9114
4,076.93 154.98 8.3131 5.0433 3.6103 2.1903
96,529.12 7,610.62 11.4776 8.9373 4.9847 3.8814
251.24 24.98 5.5264 3.2181 2.4001 1.3976
155.38 15.65 5.0459 2.7506 2.1914 1.1946
17.41 2.45 2.8572 0.8941 1.2409 0.3883
48,373.14 4,600.41 10.7867 8.4339 4.6846 3.6628
23.59 2.60 3.1607 0.9536 1.3727 0.4141
2,379.63 167.40 7.7747 5.1204 3.3765 2.2238
7.43 0.96 2.0061 -0.0403 0.8712 -0.0175
2,221.86 220.81 7.7061 5.3973 3.3467 2.3440
1.92 0.57 0.6513 -0.5674 0.2829 -0.2464
1,044.61 78.45 6.9514 4.3625 3.0190 1.8946
61.61 11.68 4.1209 2.4583 1.7897 1.0676
1,817.47 160.39 7.5052 5.0776 3.2595 2.2052
5.52 1.57 1.7088 0.4506 0.7421 0.1957
0.82 0.29 -0.2025 -1.2468 -0.0879 -0.5415
178.95 24.37 5.1871 3.1932 2.2527 1.3868
316.21 32.62 5.7564 3.4848 2.5000 1.5134
4.94 1.08 1.5982 0.0744 0.6941 0.0323
5.65 1.29 1.7317 0.2549 0.7521 0.1107
9,310.52 579.69 9.1389 6.3625 3.9690 2.7632
13.25 2.33 2.5843 0.8468 1.1223 0.3678
278.36 21.74 5.6289 3.0793 2.4446 1.3373
9.84 1.88 2.2868 0.6314 0.9931 0.2742
64.19 5.03 4.1619 1.6146 1.8075 0.7012