Suppose that your team aims to understand how long it takes for US companies to a data breach and that your team collected data from nine US companies. When you plotted the number of cyber-attacks per day versus data breach response time (average number of days), you obtained the graph below:

Q1. Show your calculation of the sum of squared residuals for each line.

Q2. Explain how you use the concept of least-squares in determining the best fit to the data.

Q3. Which line is the best line to fit the data?

1. Line 1
2. Line 2
3. Line 3
    

Transcribed Image Text:

Cyber-attacks per day 14 13 12 11 10 9 8 00 7 6 5 4 3 2 1 10 20 20 1 2 30 40 50 60 70 80 90 100 Response time 3 Cyber-attacks per day 14 13 12 11 10 9 8 00 7 6 5 4 3 2 1 10 20 20 1 2 30 40 50 60 70 80 90 100 Response time 3