Explanation in Youtube: https://www.youtube.com/watch?v=Pczs8tFxztU
| Case Study 1 (20 marks) |
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| Consider
the table below. It shows three performance measures for 10 students. |
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| Student |
Test score |
IQ |
Study hours |
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| 1 |
100 |
125 |
30 |
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| 2 |
95 |
104 |
40 |
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| 3 |
92 |
110 |
25 |
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| 4 |
90 |
105 |
20 |
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| 5 |
85 |
100 |
20 |
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| 6 |
80 |
100 |
20 |
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| 7 |
78 |
95 |
15 |
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| 8 |
75 |
95 |
10 |
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| 9 |
72 |
85 |
0 |
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| 10 |
65 |
90 |
5 |
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| In
this lesson, using data from the table, we are going to complete the
following tasks: |
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| 1)
Develop a least-squares regression equation to predict test score, based on
(1) IQ and (2) the number of hours that the student studied. |
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Assess how well the regression equation predicts the test score, the
dependent variable. |
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| 3)
Assess the contribution of each independent variable (i.e., IQ and study
hours) to the prediction. |
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| Case Study 2 (20 Marks) |
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| A
nonprofit home healthcare agency has asked “a consultant” whether its CEO is
fairly |
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relative to the marketplace for similar agencies. The Agency has supplied
a |
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to the consultant, who also has his own survey database of CEO pay. |
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this case, the CEO’s rate is $79.50 per hour (or $165,360 per year). The
Agency’s |
| revenue is $25M. Is the CEO fairly paid? The
survey of nonprofit home health- care |
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pay levels shows the pay levels in the table below. |
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| Base Pay |
Revenue |
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| 151.81 |
76,328,000 |
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| 148.29 |
57,000,000 |
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| 101.65 |
51,000,000 |
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| 100 |
50,897,721 |
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| 95.59 |
45,493,200 |
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| 91.35 |
32,506,801 |
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| 88.95 |
26,987,146 |
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| 79.5 |
25,000,000 |
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| 78.76 |
24,587,000 |
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| 69.75 |
21,500,000 |
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| 68 |
17,609,573 |
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| 65.9 |
15,214,178 |
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| 58.53 |
14,675,724 |
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| 57.69 |
13,504,173 |
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| 57.52 |
13,126,413 |
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| 55.91 |
12,830,000 |
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| 52.88 |
12,296,908 |
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