Question

QUESTION 3 1 point Not included in the table below is a diamond with a weight of 1.50 carats. Find the regression equation, letting the first variable be the predictor variable. Find the best predicted price for this diamond by following the prediction procedure summarized in Figure 10-5 (page 521). Is the result close to the actual price of $16,097? Weight 0.3 0.4 0.5 0.5 1.0 0.7 Price 51011511343 1410 5669 2277 D = 10800 + 2900x, best predicted value is $15,150, the predicted value is close to the actual price of $16,097 D 2010 + 7180x, best predicted value is $8,760, the predicted value is far from the actual price of $16,097 D = 5100 + 2900x, best predicted value is $9,450, the predicted value is close to the actual price of $16,097 D --2010 + 7180x, best predicted value is $15.734, the predicted value is O nce to the actual nrira nf 16 n97 ... on course assessment id=_19083_1&course_id=_17

Answer 1

Ans:

	weight,x	price,y	xy	x^2
1	0.3	510	153	0.09
2	0.4	1151	460.4	0.16
3	0.5	1343	671.5	0.25
4	0.5	1410	705	0.25
5	1	5669	5669	1
6	0.7	2277	1593.9	0.49
Total	3.4	12360	9252.8	2.24

slope,b=(6*9252.8-3.4*12360)/(6*2.24-3.4^2)=7177

intercept=(12360-7177*3.4)/6=-2007

y'=-2007+7177 x

Closest option is:

y'=-2010+7180 x

when x=1.5,then best predicted value is:

y'=-2010+7180*1.5=8760

The predicted value is far from the actual price of 16097.

Second option is correct.