Graduation Rates PayScale is a company that reports statistics on colleges and universities. Go to the book’s website to obtain the data file 11_3_24 using the file format of your choice for the version of the text you are using. The data contain the four-year cost and graduation rate for over 1300 colleges and universities. Do schools that charge more have higher graduation rates? The variable “2013 Cost” represents the four-year cost of attending the college or university. The variable “Grad Rate” represents the percentage of incoming freshman who graduate within six years.

(a) Draw a scatter diagram treating “2013 Cost” as the explanatory variable and “Grad Rate” as the response variable.

(b) Determine the correlation coefficient between “2013 Cost” and “Grad Rate.”

(c) Is there a linear relation between “2013 Cost” and “Grad Rate”?

(d) Find the least-squares regression line.

(e) Is the graduation rate of Harvey Mudd College higher than would be expected among all schools that charge $229,500? Explain.

(f) What proportion of the variability in graduation rates is explain by the 2013 cost of attending?

Data Processing

The computer processing portion of a sales order system is represented by the Problem 11 flowchart on the following page. Answer the following questions:

Required:

a. What type of data processing system is this? Explain, and be specific.

b. The auditor suggests that this system can be greatly simplified by changing to direct access files. Explain the major operational changes that would occur in the system if this were done.

c. The auditor warns of control implications from this change that must be considered. Explain the nature of the control implications.

d. Sketch a flowchart (the computerized portion only) of the proposed new system. Use correct symbols and label the diagram.