Question

Question 6 An auto manufacturing company wanted to investigate how the price of one of its car models depreciates with age. The research department at the company took a sample of eight cars of this model and collected the following information on the ages in years) and prices in hundreds of dollars) of these cars. Age 3 3 4 6 2 2 2 3 Price 73 78 64 43 87 81 75 79 Find the least squares regression line equation in the form y = a + bx. Use "Age" as the independent variable and "Price" as the dependent variable. Round your answers to four decimal places. Predict the price of a 4 year-old car of this model. Round your answer to one decimal place. pred = the tolerance is +/-2%

Answer 1

© x= "Age", y = "Price" no 8, Ex = 25 , Ey = 580 Ex'= 91, Exy = 1690 nExy - EXEY Slope: b = - nex²({x)² 8(1690) – 25(580) 8(91) - (25)2 = -9.514 563 ž -9.5146 y-intercept: a = - * -580-(-9.514563) 25 = 102:233009 a 102.2330 + 9 = 102 23301+(-9-514 ) x ☆ y pred = 102.2330 -9.5146*4 = 64.1746 ~ 164.2]

Ο * (ΓΣ ΣΧΥ – ΣΧΣ) η Σx-(Σκ)*][nΣ 9'-(59)] 12(40oo) - (ιοο)(230) [12 (130) - too?][12(25212) - (230) = Ο·6 235