Problem

The table shows the consumer price index (CPI) in April of selected years. Year19941998200...

The table shows the consumer price index (CPI) in April of selected years.

Year

1994

1998

2000

2002

CPI

147.4

162.5

171.3

179.8

For each of the following two models, in which x = 0 corresponds to 1990, compute the required information for each blank.

(a) Model: y = 4x + 131

Data Point

Model Point

Residual

Residual Squared

(4, 147.4)

_______

_______

_______

(8, 162.5)

_______

_______

_______

(10, 171.3)

_______

_______

_______

(12, 179.8)

_______

_______

_______

Sum: ______

Sum:_______


(b) Model: y = 4.1x + 131.5

Data Point

Model Point

Residual

Residual Squared

(4, 147.4)

_______

_______

_______

(8, 162.5)

_______

_______

_______

(10, 171.3)

_______

_______

_______

(12, 179.8)

_______

_______

_______

 

 Sum: ______

Sum: ______


(c) Which of the preceding models is the better fit for the data?

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