1. Simple running(a) reverting Model See Page 1 for the Data used to create this Simple course of actionar regression toward the mean turnout a) Scatter Diagram The above scatter plat shows a ordained consanguinity between apple Inc. cover charge and pretension rates, which is also confirmed by a positive pompousness coefficient in the regression turnout. This outcome was evaluate since Inflation is depict as an append in the outlay level of ecumenic goods and services, which is faithfully represented when apple Inc. character prices were in the $50-200 range, pretentiousness was negative... and as Inflation rates began to increase so did apple Inc. share prices. b) See Page 3 for Simple Linear Regression Computer Output c) Line panorama Plot The Line Fit plot for apple Inc. share prices shows that the majority of data points do non degenerate on or near the predicted line. This would fate that Inflation is not a profound i ndicator of Apple Inc. share price (not taking into consideration separate factors much(prenominal) as R2 or p-values). A regression model other than the linear model whitethorn produce better results d) earth the Regression Equation and let off the meaning of each of the coefficients Yi= Apple Inc Share set X1 = Inflation Rate Yi=183.58 + 39.
49INFL For every 1% increase in Inflation, Apple Inc. share price increases by $39.49 e) State and formulate the meaning of R-Squared R2 (coefficient of determination) is used to measure goodness of fit, spirit at the variation of Y around its mean (Y- bar) explained by the regression compariso! n represented as a percentage. A perfect fit (all points falling on the line) would have an R2 of 1.0, whereas an equation with an R2 of 0 would show there to be no kindred between the X and Y variables. This particular regression output has an R2 of .458186, which suggests the relationship is not profound, but a p-value of 4.22379E-06 suggests there is significant relationship. R2 of .5 can be considered a good fit with...If you lack to get a full essay, order it on our website: OrderCustomPaper.com
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