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The sales manager of a large company selected a random sample of n = 10 salespeople and determined for each one the values of x = years of sales experience and y = annual sales (in thousands of dollars). A scatterplot of the resulting (x, y) pairs showed a linear pattern.
a. Suppose that the sample correlation coefficient is r = .75 and that the average annual sales is y = 100. If a particular salesperson is 2 standard deviations above the mean in terms of experience, what would you predict for that person's annual sales?
b. If a particular person whose sales experience is 1.5 standard deviations below the average experience is predicted to have an annual sales value that is 1 standard deviation below the average annual sales, what is the value of r?
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