The relationship between the price of yachts (y)and their length (x)is analyzed.The mean length was 41 metres with a standard deviation of 11.The mean price was $84,000 with a standard deviation of 14,000.The correlation between the price and the length was 0.41.
A) = 31,800 + 1,270 length
B) = 70,800 + 0.000322 length
C) = -962,000 + 547 length
D) = -4,040,000 + 622 length
E) = 62,605+ 522 length

Question

The relationship between the price of yachts (y)and their length (x)is analyzed.The mean length was 41 metres with a standard deviation of 11.The mean price was $84,000 with a standard deviation of 14,000.The correlation between the price and the length was 0.41.
A) = 31,800 + 1,270 length 
B) = 70,800 + 0.000322 length 
C) = -962,000 + 547 length 
D) = -4,040,000 + 622 length 
E) = 62,605+ 522 length

Quizplus · Accepted Answer

The best choice is E because it provides the highest correlation coefficient (0.522) and a reasonable intercept and slope for the relationship between price and length. Choice A has a slope that is too small, while choice B has a slope that is too close to zero. Choices C and D have negative intercepts that do not make sense in this context. Therefore, E is the best choice.

The Relationship Between the Price of Yachts (Y)and Their Length