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## ← 39-04 Influential_Observation_Solution

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39-04 Influential_Observation_Solution

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Showing Revision 2 created 11/02/2015 by Udacity Robot.

1. To compute this, recall that b equals the sum of the product
2. of the difference of the x's from the mean and the y's from the mean
3. divided by the square difference between x and the mean
4. So, the mean of the x's is 104, and the mean of the y's is 100.
5. Now let's write out deviations for each term.
6. Now for the differences of the y's.
7. If we add up the product of these, we get a fairly large number--896,000.
8. The denominator is equal to 892,100.
9. Taking the ratio of these two things gives us our answer of 1.004.
10. This is interesting, because it suggests when we have data like this
11. but add one single point all the way over here,
12. our best fit line goes from being this to being this.
13. Now, note this isn't quite to scale. This point would really be all the way over here.