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You have been hired by a local company to analyze employee compensation. There have been several complaints that employee salary and bonuses are completely subjective and not tied to their years of service, job title, or annual review score. You will analyze data by creating several queries to help substantiate or disprove the complaints.

a. Analyze the data
b. Do not analyze the data
c. Employee compensation is not subjective
d. Employee compensation is tied to years of service

1 Answer

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Final answer:

To analyze employee compensation and substantiate or disprove complaints, data analysis is required. By creating queries and analyzing the data, it can be determined if employee compensation is subjective or tied to years of service. The y-intercept, least-squares line, and correlation coefficient can provide further insights into the relationship between employee compensation and years of service.

Step-by-step explanation:

b. From the given information, it is unclear whether employee compensation is tied to years of service, job title, or annual review score. In order to substantiate or disprove the complaints, data analysis is required. By creating several queries and analyzing the data, it will be possible to determine if the complaints are valid.

c. The y-intercept, also known as 'a' in the equation y = a + bx, represents the value of the dependent variable (employee compensation) when the independent variable (years of service) is zero. In this context, the y-intercept may have a meaning and can be used to further analyze the compensation structure.

d. To calculate the least-squares line, the equation ลท = a + bx needs to be determined. This equation represents the relationship between employee compensation and years of service. By finding the values of 'a' and 'b', the equation can be used to estimate employee compensation based on years of service.

e. The correlation coefficient measures the strength and direction of the linear relationship between the variables. To determine if it is significant, the correlation coefficient needs to be calculated and compared to a threshold value (typically between -1 and 1). If the correlation coefficient is close to -1 or 1, it indicates a strong relationship between employee compensation and years of service.

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