Question

Let *x* be the average number of employees in a group
health insurance plan, and let *y* be the average
administrative cost as a percentage of claims.

x |
3 | 7 | 15 | 33 | 72 |

y |
40 | 35 | 30 | 26 | 16 |

(a) Make a scatter diagram of the data and visualize the line you think best fits the data.

(b) Would you say the correlation is low, moderate, or strong?
positive or negative?

moderate and positive

moderate and negative

low and positive

strong and negative

low and negative

strong and positive

(c) Use a calculator to verify that Σ*x* = 130,
Σ*x*^{2} = 6556, Σ*y* = 147,
Σ*y*^{2} = 4657, and Σ*xy* = 2825. Compute
*r*. (Round your answer to three decimal places.)

*r* =

As *x* increases, does the value of *r* imply that
*y* should tend to increase or decrease? Explain.

Given our value of *r*, *y* should tend to
decrease as *x* increases.

Given our value of *r*, *y* should tend to remain
constant as *x* increases.

Given our value of *r*, *y* should tend to
increase as *x* increases.

Given our value of *r*, we cannot draw any conclusions
for the behavior of *y* as *x* increases.

Answer #1

a) The scatterplot will be

b) Since the scatterplot suggest a downward trend and a approximately staraight lime hence the conclusion is

strong and negative

c) Using Σ*x* = 130, Σ*x*^{2} = 6556,
Σ*y* = 147, Σ*y*^{2} = 4657, and Σ*xy*
= 2825.

*X Values*

∑ = 130

Mean = 26

∑(X - M_{x})^{2} = SS_{x} = 3176

*Y Values*

∑ = 147

Mean = 29.4

∑(Y - M_{y})^{2} = SS_{y} = 335.2

*X and Y Combined*

*N* = 5

∑(X - M_{x})(Y - M_{y}) = -997

*R Calculation*

r = ∑((X - M_{y})(Y - M_{x})) /
√((SS_{x})(SS_{y}))

r = -997 / √((3176)(335.2)) = -0.966

Therefore,

Given our value of *r*, *y* should tend to
decrease as *x* increases.

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
35
70
y
40
35
30
26
20
(a) Make a scatter diagram of the data and visualize the line
you think best fits the data.
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
low and negative
low and positive
moderate and negative...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
30
75
y
40
35
30
28
20
(a) Make a scatter diagram of the data and visualize the line
you think best fits the data.
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
moderate and positive
strong and positive
low and positive...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
30
71
y
40
35
30
28
17
a) Make a scatter diagram of the data and visualize the line you
think best fits the data.
b) Would you say the correlation is low, moderate, or strong?
positive or negative?
strong and negative
moderate and negative l
ow and positive...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
30
71
y
40
35
30
27
17
(a) Make a scatter diagram of the data and visualize the line
you think best fits the data.
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
strong and positivelow and
positive moderate and positivestrong
and negativelow...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
39
72
y
40
35
30
27
16
(a) Make a scatter diagram of the data and visualize the line
you think best fits the data.
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
strong and positivemoderate and
positive moderate and negativelow and
positivestrong...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
37
72
y
40
35
30
28
17
(a) Make a scatter diagram of the data and visualize the line
you think best fits the data.
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
low and positivemoderate and
negative strong and positivestrong and
negativelow...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
38
73
y
40
35
30
25
20
(a) Make a scatter diagram of the data and visualize the line
you think best fits the data.
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
low and negativemoderate and
positive strong and negativestrong and
positivelow...

Let x be the average number of employees in a group health
insurance plan, and let y be the average administrative cost as a
percentage of claims. x 3 7 15 30 72 y 40 35 30 26 17
(b) Would you say the correlation is low, moderate, or strong?
positive or negative? moderate and negative moderate and positive
strong and negative low and negative low and positive strong and
positive
(c) Use a calculator (show buttons on calculator) to...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
30
74
y
40
35
30
28
20
(a) Make a scatter diagram of the data and visualize the line
you think best fits the data.
Submission Data
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
strong and negativelow and
positive low and negativestrong...

Let x be the average number of employees in a group
health insurance plan, and let y be the average
administrative cost as a percentage of claims.
x
3
7
15
36
70
y
40
35
30
28
17
(b) Would you say the correlation is low, moderate, or strong?
positive or negative?
strong and negativestrong and
positive moderate and negativemoderate
and positivelow and negativelow and positive
(c) Use a calculator to verify that Σx = 131,
Σx2 = 6479, Σy...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 2 minutes ago

asked 2 minutes ago

asked 2 minutes ago

asked 6 minutes ago

asked 13 minutes ago

asked 20 minutes ago

asked 21 minutes ago

asked 23 minutes ago

asked 27 minutes ago

asked 29 minutes ago

asked 29 minutes ago

asked 32 minutes ago