Question

A random sample of ten professional athletes produced the following data where x is the number of endorsements the player has and y is the amount of money made (in millions of dollars).

x	y	x	y
0	2	5	11
3	8	4	9
2	6	3	8
1	3	0	3
6	14	5	10

What is the y-intercept, a, of the line of best fit? (Round your answer to three decimal places.)

a =

What does it represent? (Round your answer to three decimal places.)

The y-intercept means that on average, players with no endorsements earn _______________ million dollars a year.

Answer 1

Answer: The linear regression equation is given by y_hat = 2.196 +1.795 x, where y_hat= the predicted value of the amount of money made (in millions of dollars) made by the athlete and x= the number of endorsements the player has.

The line of best fit thus has y-intercept = a = 2.196 (rounded to 3 decimals). It means that on average, players with no endorsements earn 2.196 million dollars a year.

The linear regression equation is obtained using R-software. Code and Output are attached below.