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The least-squares line. Open the Correlation and Regression applet. Let's use this applet to explore how the least-squares line changes when we move some observations. Start by putting 5 points on the plot that lie approximately on a straight line from the lower left to the upper right. Click on the box that says "Show least-squares line."
(a) Click on the point at the upper right and drag it straight down to the lower part of the display. Describe how the least-squares line changes when you do this.
(b) Drag the point that you moved back to its original position. Now, click on the middle point and drag it straight down to the lower part of the display. Describe how the least-squares line changes when you do this.
(c) Compare your results in parts (a) and (b), and summarize what you have learned about least-squares lines from this exercise.
A trigger call option forces the holder to buy a stock S at a price K if the stock price is above H at the time of expiry. Develop an analytic formula for the price of this option in a Black-Scholes world.
1 if we are very certain that the true standard deviation of the number of defects per screen is below 2 what sample
The probability of success for any trial of a binomial experiment is 25%. Find the probability that the proportion of successes in a sample of 500 is less that 22%. Repeat with a sample of 800. Repeat with a sample of 1,000.
in a random sample of 1002 701 said they voted in a recent presidential election.a find the best point estimate of the
a a conservationist is interested in knowing whether polar bears in the wild have lower rates of reproduction than
Display 10.19 summarizes results from the regression of the log of the number of butterfly species observed on the log of the size of the reserve and the number of days of observations, from 16 reserves in the Amazon River Basin.
a manufacturing of window frames knows from long experience that 5 percent of the production will have some type of
For a study conducted by the research department of a pharmaceutical company, 295 randomly selected individuals were asked to report the amount of money they spend annually on prescription allergy relief medication. The sample mean was found to be..
To exercise your skills, you are to perform the following using different tools available to you (e.g. Excel spreadsheet, graphing calculator, etc.) and write and explanation on your findings:
physicians at a clinic gave what they thought were drugs to 940 patients. although the doctors later learned that the
You've two separate sets of data. From one set you calculate the standard error to be 500. From the other set, the standard error was 5.
Identify the population and the sample in this situation.- Is this likely to be a representative sample? If not, why not?
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