Working out is done on paper but these are the results obtained.
Answer 1:
Value of A, the intercept, rounded to 3 decimal places: 114.241
Value of b, the coefficient rounded to 3 decimal places: -0.334
The standard error rounded to 3 decimal places: 5.073
The vale of beta rounded to 3 digits is: -0.334
The t value of b is: 2.31925076400655e-13
Answer 2: Sca er plot:
Drawn from so ware PSPP
I don’t know how to do answer 3
Answer 4:
Drawn from so ware PSPP
Key Observa ons
1. In contrast to the chart presented in Answer 1, the individual trends exhibit a contras ng
pa ern. While the overall trend in Answer 1 showed a decline, both clusters demonstrate an
upward trend as age increases. The reason behind the nega ve overall trend is that
expenditure for individuals under 40 is significantly higher than that of the second cluster.
Consequently, as age increases, the overall spending tends to decrease.
2. The expense growth with age for individuals under 40 is more pronounced compared to the
other cluster. Their spending pa erns are more sensi ve to age fluctua ons. On the other
hand, the second cluster displays a rela vely stable trend, as indicated by the lower slope of
the regression line.