The Following Data Represent the Daily Supply (Y in Thousands

question 70

Essay

The following data represent the daily supply (y in thousands of units) and the unit price (x in dollars) for a product. $$\begin{array} { c c } \text { Daily Supply } ( y ) & \text { Unit Price } ( x ) \\5 & 2 \\7 & 4 \\9 & 8 \\12 & 5 \\10 & 7 \\13 & 8 \\16 & 16 \\16 & 6\end{array}$$ ​
a.
Compute and interpret the sample covariance for the above data.
b.
Compute the standard deviation for the daily supply.
c.
Compute the standard deviation for the unit price.
d.
Compute and interpret the sample correlation coefficient.

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Definitions:

Standardized Residual

The difference between the observed and predicted values, divided by the standard deviation of the residuals.

Standard Error

A statistic that measures the variability or precision of the sampling distribution of a statistic.

Autocorrelated

A characteristic of a series where subsequent observations in the series are correlated with one another.

Independent

Not influenced or controlled by others; having the freedom to act or function separately.