CH.

3] REGRESSION AND CORRELATIOH 55

UNIVERs'TY SOLVED PAPERS
02) Price indices of cotton (x) and wool () are glven below for the 12 months ofa
year. Obtain the correlation coefmclent between x and y and obtain the
equations of lines of regression between the Indices:

Price index cf cotton (x) 78 77 85 88 83 83 82 78 76 83 97 98

Price index of wool (y) 84 80 82 83 88 90 88 91 83 8978 96
(P.U: 1990-A)
SOLUTION
X
xy
78 84 6084 7056 6552
77 80 5929 6400 6160
85 82 7225 6724 6970
88 83 7744 6889 7304
83 88 6889 7744 7304
83 90 6889 8100 7470
82 88 6724 7744 7216
78 91 6084 8281 7098
76 83 5776 6889 6308
83 89 6889 7921 7387
97 78 9409 6084 7566
98 96 9604 9216 9408
x=1008 Ey=1032 85246 2y=89048 xy=86743
4) Correlation coefficient:
nxy- Ey
VIo-Inzy -(2
12x 86743-1008 x1032
V[12 x 85243 (1008)1[12 x 89048-(1032)1
1040916-1040256
1022916 1016064)(1068576 - 1065024)
660 660
4933.387 0.134
2 x 3552
56 SUSINESS STATISTICs & M

Regression line of yon

)
a byn.
Where by nxy-x.y
n2x
12 x86743-1008x 1032 =
660
6852
0.096
12x85243-(1008)

84
86
= 86-0.096 x 84 = 77.94

Substitute the values of a and by in equation ()

y = 77.94+0.96x

(i) Regression line of x on y:

. =
ay +bxy y (i)
Where b DAYx.y

12x86743-1008 x 1032 660

12x89048-(1032) 3352 0.186

aay -by ù
= 84-0.186 x 86 = 68

Substitute the values of agy and by in equation (ii)

= 68+0.186y
 Compute means X and y, standard deviation of x'and y series, correlation
coeficient, regression coefficient y on x. Also find the regression line of y on x
from the following data:

0 1 1 2 89 10 11 12 13 14 15
9 10 3 13 7 11 14 10
14 12 18
(P.U: 1994-A, P.U: 2011-A)
SOLUTION
xy
9 25 81 45
6 36 49 42
7 10 49 100 70
B 3 64 9 24
9 13 81 169 117
10 11 100 121 110
11 14 121 196 154
12 10 144 100 120
13 14 169 196 182
14 12 196 144 168
15 18 225 324 270
Ex 110
=
y= 121 | x=1210 2y=1489 Exy=1302
 60 USINES TIAIiGS &MAT

Means ofx and yi

10
1
S.Dofx and y:
S
1210 110
VT-T)
= V110 100
=
y10 = 3.162

s-V-
1489
= V135.36- 121
=
14.36 3.789
=

H) Correlation coefticlent between x and y:

Ysy 2xy-nx
n. Ss.Syy YA=n2xy x.Eq
1302-11x10x11 (nx
92
11x3.162x3.789 131.789 0.698
(dv) Regresslon coefmicdent y on X

by y 0.698 x3.1620.84
084
v)Regreeslon line ofy on x

yn+byn. ()
Where bya" 7-ba.
11-0.84 x 10 2.6
Substitute the values of aa and bya in
equation ()
2.6+0.84
 61
TCH.3 REGRESSION ANDcORRELATION
Q.5 Find the coefficient of linear correlation between the variables x and y. Also
obtain the lines of regresslon equations of x on y and y on x from the
following data:

1 3 11 14

1 2 5 7 8

(P.U: 1995A)

SOLUTION
xy
1

3 2 6
16 16 16

6 36 16 24
8 5 64 25 40
81 49 63
9
8 121 64 88
11
9 196 81 126
14

Ey 40| 524 Ex=256 Exy 364

Ex =56
and y:
Correlation coefficient between x

nxy-x. y
nx-(2In2y-(2y1
8x36456 x 40
y 8 x 524- (56)118 x 256 (40))

84 84 0.977
85.9767
V132 x56
Regression line of x on y
(i)
ay+bxy Y
X y -2x.y 8x 364-56x40 = 1.5
Where b,
ny-(Ey 256-(40
 BUSINESSSTATISTIn &MATHE
62

axy -bxy y Here =7, y =

Y_
n 8 5

7-1.5 x5 -0.5 =

Put the values of ay and by in equation (1)

-0.5+1.5y
Regression line of y on x:
y byx X
ayx + .
(ii)
Where b= D2AY2X.y 8x 364-56 x 40 84
132 0.64
nx-(Ex 8x 524 (56)

ay y-byx.
5-0.64 x7 = 0.52
Put the values of ays and byx in
equation (ii)
y = 0.52+0.64x
 67
CH.3) REGRESSION AND CORRELATION
equation of the line of
Q.9 Find the correlation between x and y and the
75:
regression of y on x and predict the value of y when x =

67 69 17
X 65 63 67 68 62 70
71 67 68
68
68 66 68 65 69 66 68

(P.U: 2000A)

SOLUTION
X y
65 68 4225 4624 4420
63 66 3969 4356 4158
67 68 4489 4624 4556

68 65 4624 4225 4420

62 69 3844 4761 4278

70 66 4900 4356 4620

66 68 4356 4356 4488
67 71 4489 5041 4757
69 67 4761 4489 4623
71 68 5041 4624 4828

Ex=668 Ey= 676 = 44698 -45724 xy= 45148

Correlation coefficient between x and y:

nxy-x2y
y E-(2xInEy-Cy1
10x 45148-668 x 676
V10x 44698- (668)I19x45724 (676)1
-8.8
75.6 x 26.4

-8.8
44.675 -0.197
 68 BUSINESS STATISTIC
ncs&MATH
(i)
Regression line of yon x*
y ayx byx .X ..i)

Where
Where bby xy-x.y
-X)

10x45148-668x 676
10x44698- (668)
88
75.6 0.116

ayn bys
n n

676 668
10--0.116) 10
=
67.6+0.116(66.8) =
75.35

Put the values of ays and byz in equation ()

y 75.35-0.116x

(ii) Predict y when x= 75:

y 75.35-0.116(75)
= 75.35-8.7 66.65

67 approximately
CH.3] REGRESSION AND CORRELATION
75
89 96 93
Q13 80 80 82 86 91 8385
145 140 130 124 133 127 120 110 116
Required: Calculate co-efficient of correlation and also the line of regression
y on x.
(P.U. 2004-A)

SOLUTION|
y xy
80 145 6400 21025 11600

82 140 6724 19600 11480

86 130 7396 16900 11180

91 124 8281 15376 11284

83 133 6889 17689 11039

85 127 7225 16129 10795

89 120 7921 14400 10680
96 110 9216 12100 10560
93 116 8649 13456 10788

Ex 785 Ey=1145 x=68701 y=146675 Exy=99406

Correlation Coefficient:

Dy-x
VIx-2ny- (2y
9x99406-785 x 1145
y 9 x 68701 - (785)1 [9x146675-(1145)]

4171 -4171 -0.96

2084 x 9050 4342.83

Regression Line of y on X

(1)

Where
Dxy-x2
bys n -x
9x 99406-785 x1145
9x68701- (785)*
= 417
2084 -2.001
 BUSINESS STATIS
76
&
MATHEN
dyx

-2.001)x
= 127.22+ 174.53 = 301.75
Putting the values of ayx and bys in eq. (0):
y 301.75 -2.001x
tCyREGRESSION AND CORRELATION 79
Find regression coefficients of the following case:
Ex =17.6, Ey 32.8, Exy = 94.7, x = 49.64, 2y=182, n = 8
(P.U: 2009A)
SOLUTION
Regression coefficient of y on x:
bya
byx nxy-xy
nx-(Ex
8x94.7-17.6x32.8 180.32
87.36 2.064
8x49.64-(17.6)
Regression coefficient of x on y:
bay
bsy nxy-x.y
nEy-2y)
=
8x94.7-17.6 x 32.8
8x 182-(32.8)
180.32
380.16 0.474

.18 x: 16, 72, 73, 63, 83, 80, 66, 66, 74, 62
y: 40, 52, 43, 49, 61, 58, 44, 58, 50, 45
equired: Calculate coefficient of correlation and comment on the answer.
(P.U: 2010A)
OLUTION
X
y xy
16 40 640 256 1600
72 52 3744 S184 2704
73 43 3139 5329 1849
63 49 3087 3969 2401
83 61 5063 6889 3721
80 58 464 6400 3364
66 44 2904 4356 1936
66 58 3828 4356 3364
77 50 3700 5476 2500
62 45 2790 3844 2025
655 500 33535 46059 25464
n Zxy-Ex Ey
n Ex-(Ex] [n Ey-Ey1
(10)33535)-(655)%S00)
IC10X46059) - (655)) (ION25464) -(500)]
0.65 positive completion