Question
The given data represent the total compensation for 10 randomly selected CEOs and their company's stock...
The given data represent the total compensation for 10 randomly selected CEOs and their company's stock performance in 2009. Analysis of this data reveals a correlation coefficient of r= -0.1737. What would be the predicted stock return for a company whose CEO made $15 million? What would be the predicted stock return for a company whose CEO made $25 million? Click the icon to view the compensation and stock performance data. Click the icon to view a table of critical values for the correlation coefficient. CEO Compensation and Stock Performance What would be the predicted stock return for a company whose CEO made $15 million? | % (Type an integer or decimal rounded to one decimal place as needed.) 30.27 Compensation Stock (millions of dollars) Return (%) 26.77 6.36 12.34 19.36 31.49 13.82 79.69 11.91 -8.74 11.56 26.28 4.55 15.24 10.42 17.92 3.68 14.13 11.36 2.71
Critical Values for Correlation coefficient ৪||||p|s||||||৮ = EEE||||||||| 0.997 | 0.95 0.878 0.811 0.754 0.707 0.666| 0.632 0.602| 0.576 0.553 0.532 0.514 0.497| | 0.482 0.468| 0.456 0.444 | 0.433 0.423 | 0.413 | 0.404 0.396 0.388|
0.388 0.381 0.374 0.367 0.361
Answers
The regression equation for data is. 30.301 -0.775*X the predicted stock return for a company whose CEO made $15 million is 30.301 -0.725*(15) 18.7
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