The federal trade commission

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Reference no: EM131104160

Tar and NicotineEvery year the Federal Trade Commission (FTC) must report tar and nicotine levels in cigarettes to Congress. The FTC obtains the tar and nicotine levels in over 1200 brands of cigarettes. A random sample from those reported to Congress is given in the following table:

Brand

Tar (mg), x

Nicotine (mg), y

Barclay 100

5

0.4

Benson and Hedges King

16

1.1

Camel Regular

24

1.7

Chesterfield King

24

1.4

Doral

8

0.5

Kent Golden Lights

9

0.8

Kool Menthol

9

0.8

Lucky Strike

24

1.5

Marlboro Gold

15

1.2

Newport Menthol

18

1.3

Salem Menthol

17

1.3

Virginia Slims Ultra Light

5

0.5

Winston Light

10

0.8

(a) Treating the amount of tar as the explanatory variable, x, determine the estimates of ß0 and ß1.

(b) Compute the standard error of the estimate.

(c) Determine whether the residuals are normally distributed.

(d) If the residuals are normally distributed, determine sb1.

(e) If the residuals are normally distributed, test whether a linear relation exists between the amount of tar, x, and the amount of nicotine, y, at the a = 0.1 level of significance.

(f) If the residuals are normally distributed, construct a 90% confidence interval for the slope of the true least-squares regression line.

(g) What is the mean amount of nicotine in a cigarette that has 12 milligrams of tar?

Reference no: EM131104160

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