The following table provides hypothetical information on 10 TTSE companies. The table gives the information on the percentage of stocks and the change (in dollars per share) in each stock's price. Stock Agostini Angostura Guardian Holdings National Enterprise Sagicor Firstcaribbean GraceKennedy Prestige Holdings Readymix(WI) Berger Paints Percentage traded 19.6 14.7 12.4 9.3 9.0 8.0 7.9 7.9 7.8 7.4 Change ($) -0.43 -1.10 0.85 -0.11 -0.42 -1.16 -0.04 -0.11 -0.02 -0.57

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
icon
Related questions
Question
The following table provides hypothetical information on 10 TTSE companies. The table gives the
information on the percentage of stocks and the change (in dollars per share) in each stock's price.
Stock
Agostini
Angostura
Guardian Holdings
National Enterprise
Sagicor
Firstcaribbean
GraceKennedy
Prestige Holdings
Readymix(WI)
Berger Paints
Percentage traded
19.6
14.7
12.4
9.3
9.0
8.0
7.9
7.9
7.8
7.4
Change ($)
-0.43
-1.10
0.85
-0.11
-0.42
-1.16
-0.04
-0.11
-0.02
-0.57
Transcribed Image Text:The following table provides hypothetical information on 10 TTSE companies. The table gives the information on the percentage of stocks and the change (in dollars per share) in each stock's price. Stock Agostini Angostura Guardian Holdings National Enterprise Sagicor Firstcaribbean GraceKennedy Prestige Holdings Readymix(WI) Berger Paints Percentage traded 19.6 14.7 12.4 9.3 9.0 8.0 7.9 7.9 7.8 7.4 Change ($) -0.43 -1.10 0.85 -0.11 -0.42 -1.16 -0.04 -0.11 -0.02 -0.57
(a) With percentage traded as an independent variable and the change in the stock's price as a dependent
variable, compute SSxx, SSyy and SSxy
(b) Construct a scatter diagram for these data. Does the scatter diagram exhibit a negative co-relationship
between the percentage of stock traded and the change in the stock's price?
(c) Find the regression equation ŷ = a + bx
(d) Give a brief interpretation of the values a and b calculated in part c.
(e) Compute the correlation coefficient, r.
(f) Predict the change in a stock's price if 8.6% of the stock's shares are traded on a day. Using part b,
how reliable do you think this prediction will be?
Transcribed Image Text:(a) With percentage traded as an independent variable and the change in the stock's price as a dependent variable, compute SSxx, SSyy and SSxy (b) Construct a scatter diagram for these data. Does the scatter diagram exhibit a negative co-relationship between the percentage of stock traded and the change in the stock's price? (c) Find the regression equation ŷ = a + bx (d) Give a brief interpretation of the values a and b calculated in part c. (e) Compute the correlation coefficient, r. (f) Predict the change in a stock's price if 8.6% of the stock's shares are traded on a day. Using part b, how reliable do you think this prediction will be?
Expert Solution
steps

Step by step

Solved in 7 steps with 7 images

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman