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Reika [66]
3 years ago
12

Different hotels in a certain area are randomly selected, and their ratings and prices were obtained online. Using technology, w

ith x representing the ratings and y representing price, we find that the regression equation has a slope of 130 and a y-intercept of 350. Complete parts (a) and (b) below. a. What is the equation of the regression line? Select the correct choice below and fill in the answer boxes to complete your choice. O A ○ C. b. What does the symbol y represent? O A. The symbol y represents the average price of hotels in the area. O B. The symbol ý represents the amount that price increases with a 1-point increase in rating. O.The symbol y represents the predicted value of price 0 D. The symbol y represents the expected price when the hotel's rating is 0
Mathematics
1 answer:
Savatey [412]3 years ago
5 0

Answer:

a. y= 130x + 350 + \epsilon

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:

y=\alpha x + \beta + \epsilon

Where Alpha represents the slope, Beta represents the intercept with the Y axis, and epsilon represents the random component of the model. Thus,

\alpha = 130 y \beta = 350  Obtaining:

y= 130x + 350 + \epsilon.

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.

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