Explore BrainMass

Explore BrainMass

    Primary share earnings

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    67. The following data show that trailing 52 week primary share earnings and books values as reported by 10 companies(the wall Street Journal, March 13/2000).

    Company -Earnings-Book Value
    Am Elec -25.21 -2.69
    Columbia En -23.20 -3.01
    Con Ed -25.19 -3.13
    Duke Energy -20.17 -2.25
    Edison Int'l -13.55 -1.79
    Enron Cp. -7.44 -1.27
    Peco -13.61 -3.15
    Pub Sv Ent -21.86 -3.29
    Southn Co. -8.77 -1.86
    Unicom -23.22 -2.74

    a. Develop a scatter diagram for the data with book value on the x-axis.
    b. What is the sample correlation coefficient, and what dose it tell you about the relationship between the earning per share and the book value?

    © BrainMass Inc. brainmass.com June 3, 2020, 5:19 pm ad1c9bdddf
    https://brainmass.com/statistics/descriptive-statistics/21240

    Solution Summary

    67. The following data show that trailing 52 week primary share earnings and books values as reported by 10 companies(the wall Street Journal, March 13/2000).

    Company -Earnings-Book Value
    Am Elec -25.21 -2.69
    Columbia En -23.20 -3.01
    Con Ed -25.19 -3.13
    Duke Energy -20.17 -2.25
    Edison Int'l -13.55 -1.79
    Enron Cp. -7.44 -1.27
    Peco -13.61 -3.15
    Pub Sv Ent -21.86 -3.29
    Southn Co. -8.77 -1.86
    Unicom -23.22 -2.74

    a. Develop a scatter diagram for the data with book value on the x-axis.
    b. What is the sample correlation coefficient, and what dose it tell you about the relationship between the earning per share and the book value?

    $2.19

    ADVERTISEMENT