Business/Economics: Below is the
scatterplot, regression line, and corresponding statistics for
price (x) -vs- number sold (y) data.
Price -vs- Demand:
x = Price per item (in dollars)
y = Demand (number of items sold)
correlation coefficient:
r =
?0.922
regression equation:
? = ?117x + 1599
sample size:
n = 19
sample means:
x = $6.50 y = 838.0
Answer the following questions regarding the relationship
between price (x) and demand (y).
(a) Is there a significant linear correlation between
these variables?
Yes
No
(b) What percentage of the variation in demand can be
explained by the linear relation to price? Enter your answer
as a percentage with one decimal place.
%____
(c) How many items would you expect to sell if the price
was set at $7.50? Round your answer to the nearest whole
number.
items___