Price Age Mileage 13590 6 61485 13775 6 54344 22991 1 8246 15303 4 24856 16388 3 22100 16600 3 23702 16987 4 47401 18489 2 16888 18859 3 35380 19857 3 29634 11877 9 55792 14989 3 46183 15900 3 37009 16500 4 45521 9440 9 86902 12988 5 77241 15777 6 59647 10490 9 93241 8938 10 48221 11988 8 42408 The accompanying table shows a portion of data consisting of the price, the age, and the mileage for 20 used sedans. Price Age Mileage 13590 6 61485 13775 6 54344 ⋮ ⋮ ⋮ 11988 8 42408 Determine the sample regression equation that enables us to predict the price of a sedan on the basis of its age and mileage. (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) [If you are using R to obtain the output, then first enter the following command at the prompt: options(scipen=10). This will ensure that the output is not in scientific notation.] b. Interpret the slope coefficient of Age. multiple choice The slope coefficient of Age is −0.03, which suggests that for every additional year of age, the predicted price of car decreases by $0.03, holding number of miles constant. The slope coefficient of Age is −1021.82, which suggests that for every additional year of age, the predicted price of car decreases by $1021.82. The slope coefficient of Age is −1021.82, which suggests that for every additional year of age, the predicted price of car decreases by $1021.82, holding number of miles constant. The slope coefficient of Age is −0.03, which suggests that for every additional year of age, the predicted price of car decreases by $0.03. c. Predict the selling price of a five-year-old sedan with 65,000 miles. (Do not round intermediate calculations. Round final answer to 2 decimal places.)
Price Age Mileage
13590 6 61485
13775 6 54344
22991 1 8246
15303 4 24856
16388 3 22100
16600 3 23702
16987 4 47401
18489 2 16888
18859 3 35380
19857 3 29634
11877 9 55792
14989 3 46183
15900 3 37009
16500 4 45521
9440 9 86902
12988 5 77241
15777 6 59647
10490 9 93241
8938 10 48221
11988 8 42408
The accompanying table shows a portion of data consisting of the price, the age, and the mileage for 20 used sedans.
Price | Age | Mileage |
13590 | 6 | 61485 |
13775 | 6 | 54344 |
⋮ | ⋮ | ⋮ |
11988 | 8 | 42408 |
Determine the sample regression equation that enables us to predict the price of a sedan on the basis of its age and mileage. (Negative values should be indicated by a minus sign. Round your answers to 2 decimal places.) [If you are using R to obtain the output, then first enter the following command at the prompt: options(scipen=10). This will ensure that the output is not in scientific notation.]
b. Interpret the slope coefficient of Age.
multiple choice
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The slope coefficient of Age is −0.03, which suggests that for every additional year of age, the predicted price of car decreases by $0.03, holding number of miles constant.
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The slope coefficient of Age is −1021.82, which suggests that for every additional year of age, the predicted price of car decreases by $1021.82.
-
The slope coefficient of Age is −1021.82, which suggests that for every additional year of age, the predicted price of car decreases by $1021.82, holding number of miles constant.
-
The slope coefficient of Age is −0.03, which suggests that for every additional year of age, the predicted price of car decreases by $0.03.
c. Predict the selling price of a five-year-old sedan with 65,000 miles. (Do not round intermediate calculations. Round final answer to 2 decimal places.)
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