Answer:
a. 7,000
b. 9,000
Explanation:
The model developed is correctly stated as follows:
y = 4,000 + 0.2x .................................... (1)
a) If the car is driven 15,000 miles this year, the forecasted cost of operating this automobile ls (enter your response as a whole number)
When x = 15,000, we substitute this into equation (1) and calculate y as follows:
y = 4,000 + 0.2(15,000) = 4,000 + 3,000 = 7,000
Therefore, the forecasted cost of operating this automobile ls $7,000 when the car is driven 15,000 miles this year.
b) If the car is driven 25,000 miles this year, the forecasted cost of operating this automobile is (enter your response as a whole number).
When x = 15,000, we substitute this into equation (1) and calculate y as follows:
y = 4,000 + 0.2(25,000) = 4,000 + 5,000 = 9,000
Therefore, the forecasted cost of operating this automobile ls $9,000 when the car is driven 25,000 miles this year.
Comparing the answers obtained in (a) and (b) above, we can see that the higher the number of miles the car is driven, the higher is the operating cost. This implies that there is a positive relationship between the number of miles the car is driven and its operating cost.
