Question

The owner writes a line of best fit equation, shown below, to model the relationship between profit earned and month.

Answer 1

The slope is 2500 and the y-intercept is -2500.

Answer 2

Answer:

Step-by-step explanation:

Given that the owner writes a line of best fit equation, shown below, to model the relationship between profit earned and month.  

$y = 2,500x - 2,500$

The line of best fit is a line which is closer to all the points in the observation than any other line.

The deviations of observed points from the line when squared and added would be the least for this regression line.  That is why this method is also called least squares method.

Here slope = 2,500 and y intercept = 2500

Slope here shows the change in y when x increases by 1 unit.

i.e. rate of change of y with respect to x

y intercept is the value of y when x=0