Tuition per year ($)
Average GMAT score
Acceptance Rate (%)
Graduates employed at graduation (%)
Average starting salary and bonus (5)
School
1
63675
729
10.7
79.3
153830
67516
730
19.6
85.8
155058
66540
726
23.6
84.9
147475
67938
724
11.7
81.2
143565
66462
728
20.1
82.8
141694
66540
737
6.0
62.8
153553
66390
717
22.4
86.8
148997
8
68792
720
14.1
77.3
150229
9
64200
725
19.0
76.0.
135988
10
63200
695
22.1
83.1
144799
11
66588
710
23.1
82.1
145413
12
61584
700
27.6
79.8
146252
13
61440
686
30.3
76.0
140289
14
57000
683
33.1
84.0
138864
15
55050
692
44.6
69.1
124417
16
55400
688
29.7
78.5
115830
17
55474
692
33.3
75.2
126932
18
51900
691
45.5
80.3
129587
19
53000
690
26.6
75.2
131829
20
50326
683
41.0
75.7
122791
21
46000
665
33.6
78.6
113515
22
47340
667
38.2
75.3
109267
23
49800
682
37.1
65.7
111165
24
45976
662
38.6
60.7
108347
25
37996
621
40.0
63.6
80249
26
47800
642
55.3
56.5
80249
27
46860
641
54.9
68.4
101799
28
49959
651
63.1
53.6
76455
29
38250
632
64.3
60.0
86123
30
33328
623
58.5
94.9
73646
31
43290
622
55.7
18.9
75879
32 41804
558
52.0
63.6
52190
33
49400
567
82.9
26.7
64891
34
33996
498
33.7
54.2
102156
35
23020
482
90.2
61.8
55918
36
41490
486
59.3
35.7
80000
37
39100
545
94.5
42.6
53848
Is an MBA a golden Ɵcket? Pursuing an MBA is a major personal investment. TuiƟon and
expenses associated with business school programs are costly, but the high costs come
with hopes of career advancement and high salaries. A prospecƟve MBA student would
like to examine the factors that impact starƟng salary upon graduaƟon and decides to
develop a model that uses program per year tuiƟon as a predictor of starƟng salary. Data
were collected for 37 full-Ɵme MBA programs offered at private universiƟes.
a. Construct a scaƩer plot.
b. Assuming a linear relaƟonship, use the least-squares method to determine the
regression coefficients b0 and b1.
c. Interpret the meaning of the slope, b1, in this problem.
d. Predict the mean starƟng salary upon graduaƟon for a program that has a per-year
tuiƟon cost of $50,450.
e. What insights do you gain about the relaƟonship between program per-year tuiƟon and
starƟng salary upon graduaƟon?