# Question

Below are recent financial ratios for a random sample of 20 integrated health care systems. Operating Margin is total revenue minus total expenses divided by total revenue plus net operating profits. Equity Financing is fund balance divided by total assets.

(a) Make a scatter plot of Y = operating margin and X = equity financing (both variables are in percent).

(b) Use Excel to t the regression, with fitted equation and R2.

(c) In your own words, describe the t.

(a) Make a scatter plot of Y = operating margin and X = equity financing (both variables are in percent).

(b) Use Excel to t the regression, with fitted equation and R2.

(c) In your own words, describe the t.

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