To solve this problem you must apply the proccedure shown below:
1. You have that varies jointly as
and
and inversely as the product of
and
. Therefore, you can write the following equation, where
is the constant of proportionality:
2. Now, you must solve for the constant of proportionality, as following:
3. Susbtiute values:
4. Substitute the value of the constant of proportionality into the equation:
The answer is:
Answer:
a.
b. The symbol y-bar represents the average price of hotels in the area
Step-by-step explanation:
a. The regression line equation is given by:
Where Alpha represents the slope, Beta represents the intercept with the Y axis, and epsilon represents the random component of the model. Thus,
y
Obtaining:
.
b. In a simple linear regression model the value of y-bar represents the average of all values of y observed. Thus, since y represents the prices of the hotels, then y-bar is the average price of hotels in the area.