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Revenues of popular movies. The Internet Movie
Chapter 12, Problem 61E(choose chapter or problem)
Problem 61E
Revenues of popular movies. The Internet Movie Database(www.imdb.com) monitors the gross revenues for all majormotion pictures. The accompanying table gives both thedomestic (United States and Canada) and internationalgross revenues for a sample of 19 popular movies.
a. Write a first-order model for foreign gross revenues (y)as a function of domestic gross revenues (x).
b. Write a second-order model for international gross revenues y as a function of domestic gross revenues x.
c. Construct a scatterplot for these data. Which of themodels from parts a and b appears to be the betterchoice for explaining the variation in foreign grossrevenues?
d. Fit the model of part b to the data and investigate itsusefulness. Is there evidence of a curvilinear relationship between international and domestic gross revenues? Try using α = .05.
e. Based on your analysis in part d, which of the modelsfrom parts a and b better explains the variation in international gross revenues? Compare your answer to yourpreliminary conclusion from part c.
Questions & Answers
QUESTION:
Problem 61E
Revenues of popular movies. The Internet Movie Database(www.imdb.com) monitors the gross revenues for all majormotion pictures. The accompanying table gives both thedomestic (United States and Canada) and internationalgross revenues for a sample of 19 popular movies.
a. Write a first-order model for foreign gross revenues (y)as a function of domestic gross revenues (x).
b. Write a second-order model for international gross revenues y as a function of domestic gross revenues x.
c. Construct a scatterplot for these data. Which of themodels from parts a and b appears to be the betterchoice for explaining the variation in foreign grossrevenues?
d. Fit the model of part b to the data and investigate itsusefulness. Is there evidence of a curvilinear relationship between international and domestic gross revenues? Try using α = .05.
e. Based on your analysis in part d, which of the modelsfrom parts a and b better explains the variation in international gross revenues? Compare your answer to yourpreliminary conclusion from part c.
ANSWER:Step 1 of 13
(a)
Find the first-order model.
Here, the independent variable is domestic gross revenue, and the dependent variable is foreign gross revenue. Thus, the first-order equation for the given model is as follows: