In: Statistics and Probability
An auto manufacturing company wanted to investigate how the
price of one of its car models...
An auto manufacturing company wanted to investigate how the
price of one of its car models depreciates with age. The research
department at the company took a sample of eight cars of this model
and collected the following information on the ages (in years) and
prices (in hundreds of dollars) of these cars.
Age |
4 |
4 |
3 |
2 |
4 |
2 |
7 |
5 |
Price |
70 |
62 |
78 |
75 |
54 |
72 |
42 |
44 |
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Find the least squares regression line equation in the form
y^=a+bx. Use "Age" as the independent variable and "Price" as the
dependent variable.
Round your answers to four decimal places.
y^=+()x
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Predict the price of a 5 year-old car of this model.
Round your answer to one decimal place.
ypred=
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