Mathematics

Alex Peters

1 December, 03:14

The Excel file shows a portion of data consisting of the selling price, the age, and

the mileage for 20 used sedans.

a) Estimate the sample regression equation that enables us to predict the price

of a sedan on the basis of its age and mileage.

b) Interpret the slope coefficient of Age.

c) Interpret the slope coefficient of Mileage.

d) Predict the selling price of a five-year-old sedan with 65,000 miles

Price Age Miles

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