## Regression - measures of relationships, Mathematics

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Regression - Measures of Relationships

- It is a concept that refers to the changes which happen in the dependent variable as a result of changes happens on the independent variable.

- Knowledge of regression is particularly extremely useful in business statistics where this is necessary to consider the corresponding changes on dependant variables when independent variables change

- REGRESSION should be noted that most business activities include a dependent variable and either one or more independent variable. Hence knowledge of regression will enable a business statistician to predict or estimate the expenditure value of a dependant variable when described an independent variable for illustration, consider the above example for annual expenditures and annual incomes. By using the regression techniques one can be capable to determine the estimated expenditure of a described family if the annual income is known and vice versa

- The common equation utilized in simple regression analysis is given as:

y = a + bx

Whereas y = Dependant variable

a= Interception y axis as constant

b = Slope on the y axis

x = Independent variable

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