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Repeat Exercise 7 for the data in Exercise 2.
Exercise 7
Let x1, x2 denote the variables for the two-dimensional data in Exercise 1. Find a new variable y1 of the form y1 = c1x1 + c2x2, with c21 + c22 = 1, such that y1 has maximum possible variance over the given data. How much of the variance in the data is explained by y1?
Exercise 1
Convert the matrix of observations to mean deviation form, and construct the sample covariance matrix.
Exercise 2
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