# Regression Test was Conducted to Check Relationship of COR & Revenue. Pl draw Inference

## Regression Test was Conducted to Check Relationship of COR & Revenue. Pl draw Inference Regression test was conducted to check relationship of COR & Revenue. Pl draw inference

Regression test was conducted to check relationship of COR & Revenue.
a) What inference would you draw from this?
c) What is the industry standard for R-Sq value?
d) What is the direction of relation between COR & Revenue
e) Calculate MS for Regression & Residual Error.
f) Calculate the F Ratio.
g) Create a transfer Function from the below mentioned result.

Regression Analysis: Revenue versus COR

The regression equation is

Predictor Coef SE Coef T P
Constant 6125 4792 1.28 0.215
COR 1.50033 0.08709 17.23 0.000

S = 17679.2 R-Sq = R-Sq(adj) = 92.8%

Analysis of Variance

Source DF SS MS F P
Regression 1 92751699226 92751699226 0.000
Residual Error 22 6876187437
Total 23 99627886663

Unusual Observations

Obs COR Revenue Fit SE Fit Residual St Resid
4 51112 37000 82810 3835 -45810 -2.65R
17 7787 57600 17808 4376 39792 2.32R
20 135973 219466 210130 9409 9336 0.62 X
21 146399 215417 225772 10254 -10355 -0.72 X

R denotes an observation with a large standardized residual.
X denotes an observation whose X value gives it large leverage.
?

ONE THOUGHT ON “REGRESSION TEST WAS CONDUCTED TO CHECK RELATIONSHIP OF COR & REVENUE. PL DRAW INFERENCE”