Question

The accompanying table shows a portion of a data set that refers to the property taxes owed by a homeowner (in $) and the size of the home (in square feet) in an affluent suburb 30 miles outside New York City. Taxes Size 21980 2357 17392 2471 18216 1895 15691 1117 43957 5728 33624 2536 15136 2188 16699 1926 18218 2135 16036 1409 15145 1450 36050 3099 31048 2742 42030 3353 14435 1649 38946 4001 25309 3916 22934 2438 16152 3585 29200 2804 a. Estimate the sample regression equation that enables us to predict property taxes on the basis of the size of the home. (Round your answers to 2 decimal places.) Taxesˆ = + Size. b. Interpret the slope coefficient. As Size increases by 1 square foot, the property taxes are predicted to increase by $6.91. As Property Taxes increase by 1 dollar, the size of the house increases by 6.91 ft. c. Predict the property taxes for a 1,600-square-foot home. (Round coefficient estimates to at least 4 decimal places and final answer to 2 decimal places.) Taxes=

Answer 1