Question

People in the aerospace industry believe the cost of a space project is a function of the mass of the major object being sent into space. Use the following data to develop a regression model to predict the cost of a space project by the mass of the space object. Determine r2 and se.

Weight (tons) |
Cost ($ millions) |

1.897 | $ 53.6 |

3.019 | 185.0 |

0.453 | 6.4 |

0.980 | 23.5 |

1.058 | 34.1 |

2.100 | 110.4 |

2.377 | 104.6 |

*(Do not round the intermediate values. Round your answers to 4
decimal places.)

**(Round the intermediate values to 4 decimal places. Round your
answer to 3 decimal places.)

ŷ = ( ) * + ( ) * x

r2 = ( ) **

se = ( ) **

Please Fill in the ( ) blanks

Thanks

Answer #1

The statistical software output for this problem is:

**Simple linear regression results:**

Dependent Variable: Cost ($ millions)

Independent Variable: Weight (tons)

Cost ($ millions) = -35.788407 + 67.961394 Weight (tons)

Sample size: 6

R (correlation coefficient) = 0.98063441

R-sq = 0.96164384

Estimate of error standard deviation: 14.924177

**Parameter estimates:**

Parameter |
Estimate |
Std. Err. |
Alternative |
DF |
T-Stat |
P-value |
---|---|---|---|---|---|---|

Intercept | -35.788407 | 12.834427 | ≠ 0 | 4 | -2.7884694 | 0.0494 |

Slope | 67.961394 | 6.7864506 | ≠ 0 | 4 | 10.014277 | 0.0006 |

**Analysis of variance table for regression
model:**

Source |
DF |
SS |
MS |
F-stat |
P-value |
---|---|---|---|---|---|

Model | 1 | 22336.749 | 22336.749 | 100.28574 | 0.0006 |

Error | 4 | 890.92426 | 222.73107 | ||

Total | 5 | 23227.673 |

Hence,

ŷ = -35.7884 + 67.9614 x

r2 = 0.962

se = 14.924

People in the aerospace industry believe the cost of a space
project is a function of the mass of the major object being sent
into space. Use the following data to develop a regression model to
predict the cost of a space project by the mass of the space
object. Determine r2 and
se.
Weight (tons)
Cost ($ millions)
1.897
$ 53.6
3.019
183.6
0.453
6.4
0.960
23.5
1.058
32.6
2.100
110.4
2.370
104.6
*(Do not round the intermediate values....

People in the aerospace industry believe the cost of a space
project is a function of the mass of the major object being sent
into space. Use the following data to develop a regression model to
predict the cost of a space project by the mass of the space
object. Determine r2 and
se.
Weight (tons)
Cost ($ millions)
1.897
$ 53.6
3.019
185.2
0.453
6.4
0.986
23.5
1.058
34.0
2.100
110.4
2.381
104.6
*(Do not round the intermediate values....

People in the aerospace industry believe the cost of a space
project is a function of the mass of the major object being sent
into space. Use the following data to develop a regression model to
predict the cost of a space project by the mass of the space
object. Determine r2 and
se.
Weight (tons)
Cost ($ millions)
1.897
$ 53.6
3.019
184.9
0.453
6.4
0.995
23.5
1.058
33.4
2.100
110.4
2.397
104.6
*(Do not round the intermediate values....

A value of -1 for the coefficient of correlation between two
variables means that the two variables are ________________.
a)somewhat strongly related
b)weakly related
c)perfectly related
d)very weakly related
e)not related at all
2) If the correlation coefficient between variables X
and Y is roughly zero, then ______.
a)Y is independent of X
b)Y is dependent on X
c)there is a linear correlation between Y and
X
d)Y is not necessarily independent of X
e)Y is caused by X.
3)...

Aerospace Dynamics will invest $150,000 in a project that will
produce the following cash flows. The cost of capital is 10
percent. (Note that the fourth year’s cash flow is negative.)
Year
Cash Flow
1
$
45,000
2
57,000
3
65,000
4
(48,000
)
5
140,000
a. What is the net present value of the
project? (Negative amount should be indicated by a minus
sign. Do not round intermediate calculations and round your answer
to 2 decimal places.)
...

Aerospace Dynamics will invest $100,000 in a project that will
produce the following cash flows. The cost of capital is 15
percent. (Note that the fourth year’s cash flow is negative.) Use
Appendix B for an approximate answer but calculate your final
answer using the formula and financial calculator methods.
Year
Cash Flow
1
$
50,000
2
36,000
3
30,000
4
(27,000
)
5
60,000
a. What is the net present value of the
project? (Negative amount should be...

Project S has a cost of $10,000 and is expected to produce
benefits (cash flows) of $3,500 per year for 5 years. Project L
costs $25,000 and is expected to produce cash flows of $8,000 per
year for 5 years.
Calculate the two projects' NPVs, assuming a cost of capital of
14%. Do not round intermediate calculations. Round your answers to
the nearest cent.
Project S: $
Project L: $
Which project would be selected, assuming they are mutually
exclusive?...

Project S has a cost of $9,000 and is expected to produce
benefits (cash flows) of $2,700 per year for 5 years. Project L
costs $26,000 and is expected to produce cash flows of $7,100 per
year for 5 years.
Calculate the two projects' NPVs, assuming a cost of capital of
10%. Do not round intermediate calculations. Round your answers to
the nearest cent.
Project S: $
Project L: $
Which project would be selected, assuming they are mutually
exclusive?...

Project S has a cost of $11,000 and is expected to produce
benefits (cash flows) of $3,400 per year for 5 years. Project L
costs $23,000 and is expected to produce cash flows of $6,900 per
year for 5 years.
Calculate the two projects' NPVs, assuming a cost of capital of
14%. Do not round intermediate calculations. Round your answers to
the nearest cent.
Project S: $
Project L: $
Which project would be selected, assuming they are mutually
exclusive?...

Project S has a cost of $10,000 and is expected to produce
benefits (cash flows) of $3,500 per year for 5 years. Project L
costs $25,000 and is expected to produce cash flows of $8,000 per
year for 5 years.
Calculate the two projects' NPVs, assuming a cost of capital of
14%. Do not round intermediate calculations. Round your answers to
the nearest cent.
Project S: $
Project L: $
Which project would be selected, assuming they are mutually
exclusive?...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 5 minutes ago

asked 11 minutes ago

asked 11 minutes ago

asked 13 minutes ago

asked 17 minutes ago

asked 23 minutes ago

asked 54 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago