Homework 1 Spring 2024

The average price for one square metre of land is recorded for seven different locations in Melbourne, Australia. The following table shows the average prices for these zoom in 1 the distances from the centre of the Melbourne city. This data is also shown on the scatter diagram below. Distance from city centre, km (x) Price for 1 m² of land, in thousands AUD (y) 1.2 a 3.1 3.3 4.8 5.2 2.4 1.8 1.4 1.3 0.8 2.5 1.5 0.5 1 3 4 6 Distance (km) (a) Use the scatter diagram to find the value of a and b in the table. 15 16 (b) Calculate (i) the mean distance from the Melbourne city centre, ; 17 (ii) the mean 1 m² price, in thousands AUD, ğ; 18 (iii) the Pearson's product-moment correlation coefficient, r. 19 (c) Write down the equation of the regression line y on x. 20 (d) Use the line of the regression equation to estimate the price of 1 m² of the land 4 km from the Melbourne city centre. State whether your estimate is reliable and justify your answer. 21 22 1 m² price (thousand AUD)