At a small company, the head of human resources wants to examine salary to prepare annual reviews. He selects 28 employees at random with job types ranging from 01 = Stocking clerk to 99 = President. He plots Salary ($) against Job Type and finds a strong linear relationship with a correlation of 0.96.

The regression output gives:
Salary = 15827.9 + 1939.1 Job Type
Write a few sentences interpreting this model and describing what he can conclude from this analysis.

Transcribed Image Text:

200,000 150,000 100,000 50,000 20 40 60 80 100 Job Type