The Table Shows the Weights (In Pounds) and Monthly Incomes

question 90

Essay

The table shows the weights (in pounds) and monthly incomes (in dollars) of nine randomly selected women
between the ages of 18 and 65. Assume that the x-values are the weights and the y-values are the monthly
incomes.
If we use statist $$\begin{array} { | l | c | c | c | c | c | c | c | c | c | } \hline \text { Weight (lb) } & 113 & 132 & 155 & 122 & 166 & 140 & 118 & 129 & 185 \\\hline \text { Monthly Income (dollars) } & 1420 & 3650 & 5475 & 2310 & 4710 & 2910 & 1720 & 2460 & 4115 \\\hline\end{array}$$ ical methods to conclude that there is a correlation (or relationship or association) between the
weights of women and their monthly incomes, can we conclude that by increasing her weight a woman can
increase her monthly income?

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Definitions:

Operating Leverage

The degree to which a company uses fixed operating costs, where a higher degree indicates that a small change in sales will have a larger impact on operating income.

Capital Structure

The mix of a company's long-term debt, specific short-term debt, common equity, and preferred equity, which is a significant factor in determining a company's financial health and risk level.

Cost Structure

The composition of fixed and variable costs that a company incurs in the process of producing goods or services.

Operating Leverage

A gauge of the relationship between sales growth and the growth of operational earnings, showing the mix of fixed and variable costs within a business.