Question

The price of a molasses crop is determined by percent of sugar in the molasses. An independent laboratory assays each crop for its sugar content and a price is agreed upon based on the results. An analyst is interested in investigating this relationship. The following data are known:

            Price (cents/pound) 25 35 45 55 65 75 85
            Percent sugar               50 54 60 68 78 82 84

Using the values for b₀ and b₁ you calculated previously and the fact that the relationship for the estimated regression line is yhat = b₀ + b₁x, the value of the Sum of Square Errors - SSE may be calculated. The resulting value for SSE, to two decimal places, is:

Answer 1

Ans:

	percent sugar(x)	price(y)	y'=1.5493x-50.352	y-y'	(y-y')^2
1	50	25	27.113	-2.113	4.465
2	54	35	33.3102	1.690	2.855
3	60	45	42.606	2.394	5.731
4	68	55	55.0004	0.000	0.000
5	78	65	70.4934	-5.493	30.177
6	82	75	76.6906	-1.691	2.858
7	84	85	79.7892	5.211	27.152
$SSE=\sum_i (yi-y_i^{' })^2$				Total=	73.24

Sum of Square Errors - SSE=73.24