Answer:
A. For an administrator who receives a rating of zero, we estimate his or her raise to be $14,000.
Step-by-step explanation:
Consider the following linear regression line
y^=βo +β1x.
Here, βo represents intercept of line and β1 represents slope of line.
Intercept βo represents estimated value of dependent variable y when independent variable x is zero i.e. x=0. Sometimes interpretation of intercept is not meaningful in the given context.
We are given the regression equation
y ^= 14,000 - 2,000x.
The intercept βo=14000 represents the raise of administrator having zero ratings. So, intercept can be interpreted as
" For an administrator who receives a rating of zero, we estimate his or her raise to be $14,000".