Question: Refer to the Lincolnville School bus data. Develop a regression equation that expresses the relationship between age of the bus and maintenance cost. The age

Refer to the Lincolnville School bus data. Develop a regression equation that expresses the relationship between age of the bus and maintenance cost. The age of the bus is the independent variable.

a. Draw a scatter diagram. What does this diagram suggest as to the relationship between the two variables? Is it direct or indirect? Does it appear to be strong or weak?

b. Develop a regression equation. How much does an additional year add to the maintenance cost. What is the estimated maintenance cost for a 10-year-old bus?

c. Conduct a test of hypothesis to determine whether the slope of the regression line is greater than zero. Use the .05 significance level. Interpret your findings from parts (a), (b), and (c) in a brief report.

Step by Step Solution

★★★★★

3.47 Rating (176 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a There seems to be a strong direct relationship between the two variablesThe Rsquare is 5007 Ther... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Business Statistics Questions!

Refer to the Lincolnville school bus data. Set up a variable that divides the age of the buses into three groups: new (less than 5 years old), medium (at least 5 but less than 10 years), and old (10...

Refer to the Lincolnville School District bus data. a. Referring to the maintenance cost variable, develop a box plot. What are the minimum, first quartile, median, third quartile, and maximum...

Refer to the Lincolnville School District bus data. a. Develop a 95% confidence interval for the mean bus maintenance cost. b. Develop a 95% confidence interval for the mean bus odometer miles.

Refer to the Buena School bus data. Develop a regression equation that expresses the relationship between age of the bus and maintenance. The age of the bus is the independent variable. a. Draw a...

64. Refer to the Lincolnville School bus data. Develop a regression equation that expressesthe relationship between age of the bus and maintenance cost. The age of thebus is the independent...

Regression and Correlation Analysis knowledge Detailed step by step explanation required Refer to data. Develo-p a regression equation that ex-presses the relationship between age of the bus and...

Refer to the Lincolnville School District bus data. Information provided by manufac-turers of school buses suggests the mean maintenance cost per year is $4,400 per bus with a standard deviation of...

94. Refer to the Lincolnville school bus data. Set up a variable that divides the age of the buses into three groups: new (less than 5 years old), medium (5 but less than 10 years), and old (10 or...

51. Refer to the Lincolnville School District bus data.a. Conduct a test of hypothesis to reveal whether the mean maintenance cost is equal for each of the bus manufacturers. Use the .01 significance...

Find curl v for v given with respect to right-handed Cartesian coordinates. Show the details of your work. 4. v = [2y,5x, 0] 5. v = xyz(x, y, z) 6. v = (x+ +22)-3/2[x. y. 2] 7. v=0.0. e sin yl 8. v =...

Consider an environment in which there is a one-to-one mapping between user-level threads and kernel-level threads that allows one or more threads within a process to issue blocking system calls...

Task 3 ( 3 . 0 marks ) Analysis of business statements and normalization Each manufacturer manufactures many disk - drives, and the manufacturer assigns each disk - drive a serial number. The serial...

Inflation is 2% per year; the interest rate is 8% per year. Your perpetuity project has cash flows that grow at 1% faster than inflation forever, starting with $20 next year. (a) What is the real...

A preliminary survey shows that 35% of college students smoke. In a class of 42 students, what is the probability that more than half the students smoke?

A convenience store estimates that 25% of its customers come in to buy milk. What is the probability that out of the next 200 customers, 60 or fewer will buy milk?

A manufacturing process produces 5% defective items. What is the probability that in a sample of 50 items: a. 10% or more will be defective? b. Less than 1% will be defective? c. More than 10% or...

As the director of capital budgeting for Denver Corporation, you areevaluating two mutually exclusive projects with the follo ShannonIndustries is considering a project which has the following cash...

Balance Sheet The assets of Dallas & Associates consist entirely of current assets and net plant and equipment. The firm has total assets of $3 million and net plant and equipment equals $2.5...

The following assumptions are used to determine the cost of capital. Historically, the company tried to maintain a debt to equity ratio equal to 0.40. This ratio was used because lowering the debt...