Question

A publisher of college textbooks conducted a study to relate profit per text y to cost of sales x over a 6-year period when its sales force (and sales costs) were growing rapidly.  These inflation-adjusted data (in thousands of dollars) were collected:

x  = {5.0, 5.6, 6.1, 6.8, 7.4, 8.6}                y = {16.5, 22.4, 24.9, 28.8, 31.5, 35.8}

1. Predict y when x = 8.6

2. When x = 8.6, Calculate the prediction error. (residual)

3. Calculate SSE

4. Calculate S ²

5. ^{Calculate S}

Answer 1