Question

One of the biggest factors in determining the value of a home is the square footage. The accompanying data represent the square footage and selling price in thousands of dollars) for a random sample of homes for sale in a certain region. Complete parts (a) through (h) below. square feet, on average. Click the icon to view the housing data. D. For every additional thousand dollars in selling price, the square footage increases by (Round to three decimal places as needed.) O E. It is not appropriate to interpret the slope. Data Table (g) Is it reasonable to interpret the y-intercept? Why? Select the correct choice below and, if necessary, fill in the answer box to complete your choice. O A. Yes-a house of square feet is possible and within the scope of the model. (Type an integer or a simplified fraction.) OB. No a house of O square feet is not possible. (Type an integer or a simplified fraction.) O C. No a house of square feet is not possible and outside the scope of the model. (Type an integer or a simplified fraction.) OD. No—a house of square feet is outside the scope of the model (Type an integer or a simplified fraction.) O E. More information about the houses is necessary before deciding. Square Footage, x 2263 3185 1135 2055 3146 2674 Selling Price ($000s), y 388.9 375 191 350.5 625.9 354.8 659.9 380.7 408.1 288.5 265 662.1 4318 2234 (h) One home that is 1440 square feet is sold for $275 thousand. Is this home's price above or below average for a home of this size? 2501 1647 1748 3637 The home's price is above the average price. The average price of a home that is 1440 square feet is $ 241 thousand. (Round to the nearest whole number as needed.)

Answer 1

(g) No, a house of 0 square feet is not possible and outside of the model. Option C is correct here.

(h) Here regression equation is

y^ = 0.1522 x + 33.542

so here x = 1440 square feet

y^ = 0.1522 * 1440 + 33.542 = 241

so the home price is above the average price.The average price is $ 241 thousand