Scatter Plots Worksheets

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Definition: - A plot or graph of the pairs of data from a simple regression analysis.
Example:  An insurance company wants to know how the amount of life insurance depends on the income of persons. The researcher department at the company collected information on six persons. The following table lists the annual incomes (in thousands of dollars) and amounts (in thousands of dollars) of life insurance policies for these six persons.
Annual income 62 78 41 53 85 34
Life insurance 250 300 100 150 500 75
 Construct a scatter plot for the above data.
Solution: - A scatter diagram is helpful in detecting a relationship between two variables. For example, by looking at the below scatter diagram, we can observe that there exists a strong relationship between annual income and food expenditure. If a straight line is drawn through the points, the points will be scattered closely around the line.

Example: - The owner of Red’s Towing and Garage service is interested in finding the relationship between the lowest temperature on a winter day and the number of emergency road service calls his shop receives.
The following table gives the lowest temperature (in degree Fahrenheit) on seven winter days and the number of emergency road service calls received on those days.
Lowest temperature 15 0 24 -10 30 9 36
Number of calls 12 22 16 31 7 24 6

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