>> Accounting Basics
Each of the four scatterplots a-d that follow shows a cluster of points and one "stray" point. For each, answer questions 1-4:
1) In what way is the point unusual? Does it have high leverage, a large residual, or both?
2) Do you think that point is an influential point?
a) Interpret the slope and intercept of the regression model.
b) What does the value of R2 say about how successful the model is?
c) Interpret se in this context.
d) Compute the Durbin-Watson statistic and comment.
e) Would you use this model to predict the numbers of passengers in 2010 (YearsSince1990 = 20)? Explain.
f) There's a point near the middle of this time span with a large negative residual. Can you explain this outlier?