Tammy Lotta, owner of Fourth Street Floral, operates a local chain of floral shops. Each shop has its own delivery van. Instead of charging a flat delivery fee, Lotta wants to set the delivery fee based on the distance driven to deliver the flowers. Lotta wants to separate the fixed and variable portions of her van operating costs so that she has a better idea of how delivery distance affects these costs. She has the following data from the past seven months:
1. Prepare a scatter plot of Fourth Street Floral’s volume (miles driven) and van operating costs.
2. Do the data appear to contain any outliers? Explain.
3. How strong of a relationship is there between miles driven and van operating expenses?