Statistics 101: Section L - Laboratory 6

Similar documents
Linear regression model

Going from General to Specific

Stat 328, Summer 2005

Algebra 1 Unit 3: Writing Equations

Business Statistics: A First Course

Rand Final Pop 2. Name: Class: Date: Multiple Choice Identify the choice that best completes the statement or answers the question.

(i.e. the rate of change of y with respect to x)

Stat3011: Solution of Midterm Exam One

σ e, which will be large when prediction errors are Linear regression model

Intermediate Macroeconomics: Economics 301 Exam 1. October 4, 2012 B. Daniel

MANAGEMENT ACCOUNTING 2. Module Code: ACCT08004

WEB APPENDIX 8A 7.1 ( 8.9)

Finding the Equation from a Slope and y-intercept

AP Stats: 3B ~ Least Squares Regression and Residuals. Objectives:

MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.

HIGH-LOW METHOD. Key Terms and Concepts to Know

Introduction to Population Modeling

Review Exercise Set 13. Find the slope and the equation of the line in the following graph. If the slope is undefined, then indicate it as such.

A STATISTICAL ANALYSIS OF GDP AND FINAL CONSUMPTION USING SIMPLE LINEAR REGRESSION. THE CASE OF ROMANIA

Professor Christina Romer SUGGESTED ANSWERS TO PROBLEM SET 5

Non-linearities in Simple Regression

The Least Squares Regression Line

Pre-Algebra Blizzard Bag Number 3

Estimating Support Labor for a Production Program

Tests for the Difference Between Two Linear Regression Intercepts

Homework Assignment Section 3

ACC 121 PRINCIPLES OF MANAGERIAL ACCOUNTING

Estimating Beta. The standard procedure for estimating betas is to regress stock returns (R j ) against market returns (R m ): R j = a + b R m

3. The distinction between variable costs and fixed costs is:

$0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $4.00 Price

rise m x run The slope is a ratio of how y changes as x changes: Lines and Linear Modeling POINT-SLOPE form: y y1 m( x

Copyright 2011 Pearson Education, Inc. Publishing as Addison-Wesley.

Statistical Models of Stocks and Bonds. Zachary D Easterling: Department of Economics. The University of Akron

Long Run vs. Short Run

Homework Assignment Section 3

Quantitative Methods

Homework Solutions - Lecture 2 Part 2

Dummy Variables. 1. Example: Factors Affecting Monthly Earnings

Chapter 14. Descriptive Methods in Regression and Correlation. Copyright 2016, 2012, 2008 Pearson Education, Inc. Chapter 14, Slide 1

Multiple Regression. Review of Regression with One Predictor

Final Exam Suggested Solutions

A Brief Illustration of Regression Analysis in Economics John Bucci. Okun s Law

Economics 102 Homework #7 Due: December 7 th at the beginning of class

SFSU FIN822 Project 1

Mrs Mat. Name: 2. Which is the following equation rewritten in slopeintercept. A) y = x + 1. B) y = 4x + 1. C) y = -4x + 1.

Factors affecting the share price of FMCG Companies

Lesson 2.6 Creating and Graphing Linear Equations in Two Variables

Potpourri confidence limits for σ, the standard deviation of a normal population

Chapter 3 - Cost Estimation Techniques

MATH 217 Test 2 Version A

CHAPTER 4 DATA ANALYSIS Data Hypothesis

Quadratic Modeling Elementary Education 10 Business 10 Profits

Financial Applications Involving Exponential Functions

1) Please EXPLAIN below your error in problem #1. What will you do to correct this error in the future?

Web Extension: Continuous Distributions and Estimating Beta with a Calculator

Chapter 5 Project: Broiler Chicken Production. Name Name

SUMMARY OUTPUT. Regression Statistics Multiple R R Square Adjusted R Standard E Observation 5

ST 350 Lecture Worksheet #33 Reiland

Washington University Fall Economics 487. Project Proposal due Monday 10/22 Final Project due Monday 12/3

Line of Best Fit Our objective is to fit a line in the scatterplot that fits the data the best Line of best fit looks like:

Name Period. Linear Correlation

SJAM MPM 1D Unit 5 Day 13

EXAMINATIONS OF THE HONG KONG STATISTICAL SOCIETY

11/28/2018. Overview. Multiple Linear Regression Analysis. Multiple regression. Multiple regression. Multiple regression. Multiple regression

Math Week in Review #1. Perpendicular Lines - slopes are opposite (or negative) reciprocals of each other

STA2601. Tutorial letter 105/2/2018. Applied Statistics II. Semester 2. Department of Statistics STA2601/105/2/2018 TRIAL EXAMINATION PAPER

ECO 2013: Macroeconomics Valencia Community College

Final Project. College Algebra. Upon successful completion of this course, the student will be able to:

KOÇ UNIVERSITY ECON 202 Macroeconomics Fall Problem Set VI C = (Y T) I = 380 G = 400 T = 0.20Y Y = C + I + G.

Name Name. To enter the data manually, go to the StatCrunch website ( and log in (new users must register).

proc genmod; model malform/total = alcohol / dist=bin link=identity obstats; title 'Table 2.7'; title2 'Identity Link';

York University. Suggested Solutions

Biol 356 Lab 7. Mark-Recapture Population Estimates

The line drawn for part (a) will depend on each student s subjective choice about the position of the line. For this reason, it has been omitted.

Please show work for all calculated answers. Show work in a neat and organized manner.

Glossary of Budgeting and Planning Terms

Sensex Realized Volatility Index (REALVOL)

Chapter 3: Answers to Questions and Problems

Finance Practice Midterm #1 Solutions

CHAPTER 10 DETERMINING HOW COSTS BEHAVE. Difference in costs Difference in machine-hours $5,400 $4,000. = $0.35 per machine-hour

PARAMETRIC AND NON-PARAMETRIC BOOTSTRAP: A SIMULATION STUDY FOR A LINEAR REGRESSION WITH RESIDUALS FROM A MIXTURE OF LAPLACE DISTRIBUTIONS

What Practitionors Nood to Know...


MA162: Finite mathematics

Read the following situation to determine whether the inequality correctly models the company s information.

False_ The average revenue of a firm can be increasing in the firm s output.

Cost-Volume-Profit Analysis

3.3 rates and slope intercept form ink.notebook. October 23, page 103. page 104. page Rates and Slope Intercept Form

Chapter 4. Consumer and Firm Behavior: The Work- Leisure Decision and Profit Maximization. Copyright 2014 Pearson Education, Inc.

NEWCASTLE UNIVERSITY. School SEMESTER /2013 ACE2013. Statistics for Marketing and Management. Time allowed: 2 hours

Models of Patterns. Lecture 3, SMMD 2005 Bob Stine

Cross Hedging Agricultural Commodities

REGIONAL WORKSHOP ON TRAFFIC FORECASTING AND ECONOMIC PLANNING

> attach(grocery) > boxplot(sales~discount, ylab="sales",xlab="discount")

Multiple regression - a brief introduction

Professor Christina Romer SUGGESTED ANSWERS TO PROBLEM SET 5

Econometric Methods for Valuation Analysis

Forecasting Chapter 14

Market Approach A. Relationship to Appraisal Principles

Econometrics and Economic Data

Transcription:

Statistics 101: Section L - Laboratory 6 In today s lab, we are going to look more at least squares regression, and interpretations of slopes and intercepts. Activity 1: From lab 1, we collected data on the Total Weight (in grams) of Fun Size bags M&Ms and on the number of M&Ms in each bag. Can we use the number of M&Ms in each bag to predict the Total Weight of the bag? Go to the course web page and open the JMP data file that contains the data on the M&Ms. Use Analyze Fit Y by X with Total Weight as the Y, Response and Number as the X, Factor. Fit a line to the data and have JMP plot the residuals. Turn in this output with the answers to the questions below. a) Describe the general relationship between the number of M&Ms in each bag and the total weight of the bag. Does it appear this relationship is strong or weak? b) Give the equation of the least squares regression line for predicting the total weight of the bag from the number of M&Ms in the bag. c) Find the predicted total weight of a bag of M&Ms if the bag contains 21 M&Ms. d) Calculate the residual for the bag with 21 M&Ms and a total weight of 20 grams. e) Study the residual plot. Describe what you see and how this might affect (or not affect) the least squares regression of the two variables. f) Give the value of the estimated y-intercept for this regression. Give the interpretation of the g) Look closely at the interpretation of the intercept value. What physical quantity does the intercept estimate? h) Give the value of the estimated slope for this regression. Give the interpretation of the i) Look closely at the interpretation of the slope value. What physical quantity does the slope estimate? j) How well do the intercept and slope values estimate these quantities? k) Obviously, there is variability present in our data. Not all bags with the same number of M&Ms will weigh the same due to differences in the weight of each M&M and differences in the weight of the bag. In our data, more possible sources of variability were introduced when the data were collected. Name at least one of these sources. Activity 2: Use Analyze Fit Y by X with Contents Weight as the Y, Response and Number as the X, Factor. Fit a line to the data and have JMP plot the residuals. Turn in this output with the answers to the questions below. a) Give the equation of the least squares regression line for predicting the contents weight of the bag from the number of M&Ms in the bag. b) Give the value of the estimated y-intercept for this regression. Give the interpretation of the c) Look closely at the interpretation of the intercept value. What should the true value of the intercept be? d) Give the value of the slope for this regression. Give the interpretation of the slope value in the context of the problem. 1

e) How does this value compare to the value of the slope in Activity 1? What should be the true relationship between the slope in Activity 1 and the slope in Activity 2? Activity 3: Use Analyze Fit Y by X with Total Weight as the Y, Response and Contents Weight as the X, Factor. Fit a line to the data and have JMP plot the residuals. Turn in this output with the answers to the questions below. a) Give the equation of the least squares regression line for predicting the total weight of the bag from the contents weight of M&Ms in the bag. b) Give the value of the estimated slope for this regression. Give the interpretation of the c) Look closely at the interpretation of the slope value. What should the true value of the slope be? d) Give the value of the estimated y-intercept for this regression. Give the interpretation of the e) How does this value compare to the value of the intercept in Activity 1? What should be the true relationship between the intercept in Activity 1 and the intercept in Activity 3? 2

Stat 101 L: Laboratory 6 Answer Sheet Names: Activity 1: a) Describe the general relationship between the number of M&Ms in each bag and the total weight of the bag. Does it appear this relationship is strong or weak? b) Give the equation of the least squares regression line for predicting the total weight of the bag from the number of M&Ms in the bag. c) Find the predicted total weight of a bag of M&Ms if the bag contains 21 M&Ms. d) Calculate the residual for the bag with 21 M&Ms and a total weight of 20 grams. e) Study the residual plot. Describe what you see and how this might affect (or not affect) the least squares regression of the two variables. f) Give the value of the estimated y-intercept for this regression. Give the interpretation of the g) Look closely at the interpretation of the intercept value. What physical quantity does the intercept estimate? 3

h) Give the value of the estimated slope for this regression. Give the interpretation of the i) Look closely at the interpretation of the slope value. What physical quantity does the slope estimate? j) How well do the intercept and slope values estimate these quantities? k) Obviously, there is variability present in our data. Not all bags with the same number of M&Ms will weigh the same due to differences in the weight of each M&M and differences in the weight of the bag. In our data, more possible sources of variability were introduced when the data were collected. Name at least one of these sources. Activity 2: a) Give the equation of the least squares regression line for predicting the contents weight of the bag from the number of M&Ms in the bag. b) Give the value of the estimated y-intercept for this regression. Give the interpretation of the c) Look closely at the interpretation of the intercept value. What should the true value of the intercept be? d) Give the value of the slope for this regression. Give the interpretation of the slope value in the context of the problem. 4

e) How does this value compare to the value of the slope in Activity 1? What should be the true relationship between the slope in Activity 1 and the slope in Activity 2? Activity 3: a) Give the equation of the least squares regression line for predicting the total weight of the bag from the contents weight of M&Ms in the bag. b) Give the value of the estimated slope for this regression. Give the interpretation of the c) Look closely at the interpretation of the slope value. What should the true value of the slope be? d) Give the value of the estimated y-intercept for this regression. Give the interpretation of the e) How does this value compare to the value of the intercept in Activity 1? What should be the true relationship between the intercept in Activity 1 and the intercept in Activity 3? 5