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Statistics / Stats: Data and Models 4 / Chapter 6 / Problem 10E

Stats: Data and Models | 4th Edition | ISBN: 9780321986498 | Authors: Richard D. De Veaux, Paul F. Velleman, David E. Bock

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Disk drives 2014, residuals Here are the residuals for a

Chapter 6, Problem 10E

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QUESTION:

Problem 10E

Disk drives 2014, residuals Here are the residuals for a regression of Price on Capacity for the hard drives of Exercise 6. (based on the hand-computed coefficients.)

a) Which residual contributes the most to the sum that is minimized by the Least Squares criterion?

b) Five of the residuals are negative. What does that mean about those drives? Be specific and use the correct units.

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QUESTION:

Problem 10E

Disk drives 2014, residuals Here are the residuals for a regression of Price on Capacity for the hard drives of Exercise 6. (based on the hand-computed coefficients.)

a) Which residual contributes the most to the sum that is minimized by the Least Squares criterion?

b) Five of the residuals are negative. What does that mean about those drives? Be specific and use the correct units.

ANSWER:

Step 1 of 2

(a)

329.80 is the highest residual and so contributes the most to the minimization of least squares criterion.

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