Damage due to fire

Statistics – Scatter diagram

An insurance company decided to investigate the connection between

‘ the distance from the site of a fire to the nearest fire station (miles)’ and

‘the amount of damage caused by the fire in thousands of ₤s.’

It investigated a sample of 11 major residential fires in a particular area, obtaining the

data shown in the table in the next slide.

Distance from the fire to the fire station (in

miles)

Fire damage ( in thousands of ₤ )

2 13

0.9 9

2.3 15

1.5 14

2.8 18

1.4 11

1.3 9.8

3 22

2.4 18

0.5 8

1.9 13

Display the data on a diagram like the one below plotting

Damage in thousands of

pounds

Distance from the fire in miles.

10.80.60.40.2

10

9

8

After you have plotted the points draw the line which you think best fits the points.

Use your line to read off an estimate of the cost of the damage of a fire 2.1 miles from the nearest fire station.

Estimate the cost of damage to a property for fires

a) 0.3 miles b) 1 mile c) 3.5 miles from the nearest fire station.