A production company is studying the relationship between the average cost/unit and number of units produced in a batch. A sample of 10 batches is selected and the data is given below.

a. Develop a scatter chart for these data. What does the scatter chart indicate about the relationship between average cost/unit and number of units produced?
b. Develop an estimated simple linear regression equation for the data. How much variation in the sample values of cost/unit is explained by this regression model?

Question

A production company is studying the relationship between the average cost/unit and number of units produced in a batch. A sample of 10 batches is selected and the data is given below.
  
  a. Develop a scatter chart for these data. What does the scatter chart indicate about the relationship between average cost/unit and number of units produced?
b. Develop an estimated simple linear regression equation for the data. How much variation in the sample values of cost/unit is explained by this regression model?

Quizplus · Accepted Answer

The Answer of A production company is studying the relationship between the average cost/unit and number of units produced in a batch. A sample of 10 batches is selected and the data is given below.
  
  a. Develop a scatter chart for these data. What does the scatter chart indicate about the relationship between average cost/unit and number of units produced?
b. Develop an estimated simple linear regression equation for the data. How much variation in the sample values of cost/unit is explained by this regression model?

A Production Company Is Studying the Relationship Between the Average