Question

A college is interested in if the year of receiving high-level education (college and above) influences students’ salaries when they join the working field. The college randomly selected 4 students who recently received a full- time work offer and collected their year of receiving high-level education and salary per week. The raw data is:

Participant	Year of high-level education	Salary per week
Participant 1	4	1150
Participant 2	5	1300
Participant 3	7	1600
Participant 4	2	750

-Calculate the correlation coefficient between the year of high-level education and salary per week.

-Calculate the regression equation using the year of receiving high-level education to predict the salary per week.

-If a student graduate from college and graduate school in a total of 6 years, what is this student’s predicted salary per week?

Answer 1

SOLUTION-

WE USE MINITAB-16 FOR THE CALCULATION PURPOSE

1.) TO COMPUTE CORRELATION COEFFICIENT BETWEEN THE SAMPLES-

STEPS- ENTER THE SAMPLES IN DIFFERENT SAMPLES> STAT> BASIC STATISTICS> CORRELATION> SELECT THE SAMPLES> OK.

ANSWER- THE CORRELATION COEFFICIENT IS 0.996

2.) TO COMPUTE THE REGRESSION EQUATION TO PREDICT SALARY-

STEPS- STAT> REGRESSION> REGRESSION> SELECT 'SALARY' AS RESPONSE AND 'YEARS' AS PREDICTORS> OK.

ANSWER - LET X DENOTE THE YEARS OF HIGH LEVEL EDUCATION AND Y DENOTE THE SALARY PER WEEK. SO THE REGRESSION EQUATION IS,

3.) GIVEN YEARS OF HIGH LEVEL EDUCATION(X) = 6 YEARS

SO, THE PREDICTED SALARY OF THE STUDENT PER WEEK IS,

**** IN CASE OF DOUBT, COMMENT BELOW. ALSO LIKE THE SOLUTION, IF POSSIBLE.