Question: Question 1: Based on the following samples, compute the coefficients of the regression line Y = A + B.X using your Baii calculator. Compute the

Question 1: Based on the following samples, compute the coefficients of the regression line Y = A + B.X using your Baii calculator. Compute the coefficients A and B.

X =

Dividend

Payout

Ratio

Y = ROA

2013

0.02

1.06

2014

0.12

1.12

2015

0.03

1.09

2016

0.04

1.11

2017

0.36

1.28

2018

0.01

1.08

2019

0.06

1.04

2020

0.02

1.17

Baii Calculator: Using X' and Y' for Regression Predictions To use the X' and Y' variables for regression predictions, you either can enter a value for X' to computeY' or enter a value for Y' to compute X'.

(choose CLOSEST ANSWER)

A. A = 1.0235 and B = 0.4656. B. A = 1.0746 and B = 0.5357 C. A = 1.1414 and B = 0.5789. D. A = 1.0718 and B = 0.1137.

Question 2: Based on the model of linear regression Y = A + B.X in question 1 using your Baii calculator. Compute the correlation coefficient between Y and X. (CLOSEST ANSWER) A. 0.9834 B. 0.8252. C. 0.7853. D. 0.5316 Question 3: With the data of question 1, suppose that you estimate that the dividend payout ratio will be 0.70 in 2021. Using your Baii calculator and the model of linear regression obtained in question 1, what will be the ROA estimate for 2021? (CLOSEST ANSWER) A. 1.4988 B. 1.4956. C. 1.4742. D. 1.4496.

Question 4: With the data of question 1, suppose that you estimate that the ROA will be 1.10 in 2021. Using your Baii calculator and the model of linear regression obtained in question 31, what will be the dividend payout ratio estimate for 2021? (CLOSEST ANSWER) A. 0.0711. B. 0.0522. C. 0.0678 D. 0.0475

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