Question

Cars lose value the farther they are driven. A random sample of

Answer 1

Answer:

y = -0.25x + 40 ; $26,000

Step-by-step explanation:

From the graph attached ;

The regression equation, y could be obtained :

y = mx + c

m = slope = Rise / Run = (y2 - y1) / (x2 - x1)

Slope = (15 - 40) / (100 - 0)

Slope = - 25 / 100

Slope = - 0.25

c = intercept, where the regression line crosses the y-axis, from. The graph, c = 40

The regression equation goes thus :

y = -0.25x + 40 ; y = price of car ; x = number of miles driven

Price of car that has been driven for 56000 miles

y = - 0.25(56) + 40

y = - 14 + 40

y = 26

Hence, price of car is $26,000