Question: Kent Huynh owner of Tulip Time operates a local chain

Kent Huynh, owner of Tulip Time, operates a local chain of flower shops. Each shop has its own delivery van. Instead of charging a flat delivery fee, Huynh wants to set the delivery fee based on the distance driven to deliver the flowers. Huynh wants to separate the fixed and variable portions of his van operating costs so that he has a better idea how delivery distance affects these costs. He has the following data from the past seven months:
February and May are always Tulip Time’s biggest months because of Valentine’s Day and
Mother’s Day, respectively.
1. Prepare a scatter plot of Kent’s volume (kilometres driven) and van operating costs.
2. Do the data appear to contain any outliers? Explain.
3. How strong of a relationship is there between kilometres driven and van operating expenses?

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  • CreatedApril 30, 2015
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