The Equation of the Regression Line for the Paired Data $\hat { y } = 3 x$

question 4

Multiple Choice

The equation of the regression line for the paired data below is $\hat { y } = 3 x$ . Find the explained variation.
$\begin{array}{l|rrrr}\mathrm{x} & 2 & 4 & 5 & 6 \\\hline \mathrm{y} & 7 & 11 & 13 & 20\end{array}$

• A) \(88.75\)
• B) \(10.00\)
• C) \(72.45\)
• D) \(78.75\)

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Definitions:

Expected Return

The average of all possible returns from an investment, weighted by their probabilities.

Market

A venue where goods, services, or financial instruments are exchanged between buyers and sellers, either physically or electronically.

Beta

An indicator of a stock's fluctuation compared to the general market, where a beta above 1 signals increased volatility.

Risk-Free Rate

An estimated profit from a risk-free investment, commonly illustrated by government security yields.