Case study 1

Alumni Giving

Alumni donations are an important source of revenue for colleges and universities. If administrators could determine the factors that influence increase in the percentage of alumni who make a donation, they might be able to implement policies that could lead to increased revenues. Research shows that students who are more satisfied with their contact with teachers are more likely to graduate. As a result , one might suspect that smaller class sizes and lower student – faculty ratios might lead to a higher percentage of satisfied graduates, which in turn might lead to increases in the percentage of alumni who make a donation. The chart shows data for 48 national universities. The column labeled % of classes under 20 shows the percentage of classes offered with fewer than 20 students . The column labeled student/faculty ratio is the number of students enrolled divided by the total number of faculty. Finally, the column labeled Alumni giving rate is the percentage of alumni that made a donation to the university.

1. Develop numerical and graphical summaries of the data.
2. Use regression analysis to develop an estimated regression equation that could be used to predict the alumni giving rate given the percentage of classes with fewer than 20 students.
3. Use regression analysis to develop an estimated regression equation that could be used to predict the alumni giving rate given the student-faculty ratio.
4. Which of the two estimated regression equations provides the best fit? For this estimated regression equation, perform an analysis of the residuals and discuss your findings and conclusions.
5. What conclusions and recommendations can you derive from your analysis?

Case study 2

Major League Baseball team values

A group led by John Henry paid $700 million to purchase the Boston Red Sox in 2002, even though the Red Sox had not won the world series since 1918 and posted an operating loss of $11.4 million for 2001. Moreover , Forbes magazine estimates that the current value of the team is actually $426 MILLION. Forbes attributes the difference between the current value for a team and the price investors are willing to pay to the fact that the purchase of a team often includes the acquisition of a grossly undervalued cable network. For instance , in purchasing the Boston Red Sox , the new owners also got an %80 interest in the New England sports network. The chart shows the data for 30 major league teams. The column labeled value contains the values of the teams based on current stadium deals, without deduction for debt. The column labeled income indicates the earnings before interest, taxes, and depreciation.

1.Develope numerical and graphical summaries of the data.

2. Use regression analysis to investigate the relationship between value and income. Discuss your finding.

3. Use regression analysis to investigate the relationship between value and revenue. Discuss your findings.

4. What conclusions and recommendations can you derive from your analysis?

Price: $20.57

Solution: The downloadable solution consists of 10 pages, 1057 words and 6 charts.
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