Question

The table below gives the list price and the number of bids received for five randomly selected items sold through online auctions. Using this data, consider the equation of the regression line, yˆ=b0+b1x for predicting the number of bids an item will receive based on the list price. Keep in mind, the correlation coefficient may or may not be statistically significant for the data given. Remember, in practice, it would not be appropriate to use the regression line to make a prediction if the correlation coefficient is not statistically significant.

Price in Dollars	31	39	40	46	48
Number of Bids	2	3	5	6	7

Step 1 of 6 :  

Find the estimated slope. Round your answer to three decimal places.

Answer 1

x	y	xy	x2	y2
31	2	62	961	4
39	3	117	1521	9
40	5	200	1600	25
46	6	276	2116	36
48	7	336	2304	49
∑Xi=204	∑Yi=23	∑xiyi=991	∑xi^2=8502	∑Yi^2=123

CORRELATION COEFFICIENT IS 0.9485