Determine the regression equation using independent variable

Reference no: EM13155309

We are studying mutual bond funds for the purpose of investing in several funds. For this Particular study, we want to focus on the assets of a fund and its five-year performance. The question is: Can the five-year rate of return be estimated based on the assets of the Fund? Nine mutual funds were selected at random, and their assets and rates of return are Shown below.

a. Draw a scatter diagram.
b. Compute the coefficient of correlation.
c. Compute the coefficient of determination.
d. Write a brief report of your findings for parts b and c.
e. Determine the regression equation. Use assets as the independent variable.
f. For a fund with $400.0 million in sales, determine the five-year rate of return (in percent).

Reference no: EM13155309

Questions Cloud

Compute the number of moles of hcl : Calculate the number of moles of HCl in the solution dispensed and its associated error.

What will happen to real gdp and to amount of labor employed : What will happen to real GDP and to the amount of labor employed, aggregate consumption, and aggregate savings? Compare these results to those predicted by the equilibrium business cycle model developed by Barro throughout the text.

What total dividends will it pay out : Brammer Corp.'s projected capital budget is $1,000,000, its target capital structure is 60% debt and 40% equity, and its forecasted net income is $550,000. If the company follows a residual dividend policy, what total dividends, if any, will it pa..

An education expert is researching teaching methods : An education expert is researching teaching methods and wishes to interview teachers from a particular school district. She randomly selects ten schools from the district and interviews all of the teachers at the selected schools.

Determine the regression equation using independent variable : Can the five-year rate of return be estimated based on the assets of the Fund? Determine the regression equation. Use assets as the independent variable.

Entries to record transaction by using cost method : On october 1 2010 jordan reaquired 100 shares at $50. On november 1 2010 jordan reissued the 100 shares at $40. Jordan had no previous treasury stock transaction. Prepare jordan entries to record these transaction using the cost method.

What are the genotypes of these parents : Using the above genetic traits, One parent is heterozygous with yellow eyes and heterozygous for blue hair, has found a mate with purple eyes and is heterozygous for blue hair.

What the volume of the gas sample will be in l. : A sample of nitrogen gas at a pressure of 698 mm Hg and a temperature of 86oC, occupies a volume of 14.4 liters. If the gas is heated at constant pressure to a temperature of 116 oC, what the volume of the gas sample will be in L.

Is the unemployment rate in the interval : Use the method from Section 6.4 to construct a 95% prediction interval for the 2004 unemployment rate. Is the 2004 unemployment rate in the interval?

User Account

All Pages