Computer database GROWCO describes the characteristics of 100 companies identified by Fortune as the fastest growing. Two of the variables listed are revenue and net income (millions of dollars) for the most recent four quarters.
Determine the linear regression equation describing net income as a function of revenue, then identify and interpret the slope, the coefficient of correlation, and the coefficient of determination.
At the 0.05 level of significance, could the population slope and the population coefficient of correlation be zero? Determine the 95% confidence interval for the population slope.