Consider the Following Data for Two Variables, X and Y

question 85

Essay

Consider the following data for two variables, x and y, where x is the age of a particular make of car
and y is the selling price, in thousands of dollars. $$\begin{array} { | c | c c c c c c c c c c | } \hline x & 7 & 10 & 3 & 5 & 3 & 10 & 4 & 14 & 5 & 8 \\\hline y & 35.0 & 28.5 & 45.0 & 45.0 & 55.0 & 25.0 & 37.5 & 27.5 & 30.0 & 27.5 \\\hline\end{array}$$ Use Excel to test whether the population slope is positive, at the 1% level of significance.

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Definitions:

Rate of Return

The gain or loss of an investment over a specified period, expressed as a percentage of the investment’s initial cost.

Compounded Monthly

Refers to the process of adding interest to the principal sum of a loan or deposit on a monthly basis, where the added interest also earns interest from then on.

Savings Plans

Financial programs that allow individuals to set aside money for future use, often with tax advantages or interest benefits.

Accumulated Funds

Total funds or capital that has been gathered or saved up over a period, often referring to the sum of earnings, savings, or investments.