Final answer:
To develop a simple linear regression equation for starting salaries, identify the independent variable with the closest relationship. Calculate the correlation coefficient for each independent variable and the salaries. Use the least-squares method to calculate the linear regression equation.
Step-by-step explanation:
In order to develop a simple linear regression equation for starting salaries, you need to identify the independent variable that has the closest relationship with the salaries. To determine this, you can calculate the correlation coefficient for each independent variable and the starting salaries. The independent variable with the highest correlation coefficient will have the closest relationship with the salaries.
Once you have identified the independent variable, you can use the least-squares method to calculate the linear regression equation. This involves finding the slope (b) and y-intercept (a) of the line that best fits the data points in the scatter plot.
The correlation coefficient indicates the strength and direction of the relationship between the independent variable and the starting salaries. If the correlation coefficient is close to 1 or -1, it indicates a strong positive or negative relationship. If the correlation coefficient is close to 0, it indicates a weak or no relationship.