An insurance company wants to study the relationship between the amount of fire damage to a brick house and the distance from the brick house to the nearest fire station. A random sample of 15 fires at brick houses was selected. The amount of damage (in thousands of dollars) and the distance to the nearest fire station (in miles) were recorded and are displayed below.
Distance
Damage
Distance
Damage
Distance
Damage
3.4
26.2
5.5
36.0
2.1
24.0
1.8
17.8
0.7
14.1
1.1
17.3
4.6
31.3
3.0
22.3
6.1
43.2
2.3
23.1
2.6
19.6
4.8
36.4
3.1
27.5
4.3
31.3
3.8
26.1
a. State the explanatory and response variables in this situation. Be specific.
Explanatory:
Response:
b. Draw a scatterplot corresponding to the data above. Be sure to label the axes with the appropriate variable names.
c. State the value of the correlation coefficient, rounded to three decimal places. ___________
(continued)
d. Circle the correct form, direction, and strength of the relationship between the two variables.
Form: Linear Nonlinear
Direction: Positive Negative
Strength: Weak Moderate Strong
e. State an equation of the regression line for this situation. Keep at least 3 decimal places with all of your numbers.
f. Predict the fire damage to a brick house that is 5 miles from nearest fire station. Round your answer to the nearest cent.
g. What proportion of the variation in fire damage can be explained by variation in distance from the nearest fire station? Keep at least 3 decimal places in your answer.
h. The y-intercept of the regression line in this situation is meaningless, both practically and statistically. Using at most 3 sentences, state why it is meaningless statistically.
i. Provide an interpretation of the slope of the regression line in this situation.
j. Give one example of a possible lurking variable in this situation.
An insurance company wants to study the relationship between the amount of fire damage to a brick house and the distance
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An insurance company wants to study the relationship between the amount of fire damage to a brick house and the distance
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