Answer:
Nowe we can find the means for x and y like this:
And we can find the intercept using this:
So the line would be given by:
Step-by-step explanation:
For this case we have the following data given:
Demand (x): 10,20,30,40,50,60,70,80,90,100
Price (y): 141 , 133,126, 128,113,97, 90, 82,79,53
We want to construct a linear model like this:
For this case we need to calculate the slope with the following formula:
Where:
So we can find the sums like this:
With these we can find the sums:
And the slope would be:
Nowe we can find the means for x and y like this:
And we can find the intercept using this:
So the line would be given by: