The data set below shows the mileage and selling prices of eight used cars of the same model.
Mileage Price
21,000 $16,000
34,000 $11,000
41,000 $13,000
43,000 $14,000
65,000 $10,000
72,000 $12,000
76,000 $7,000
84,000 $7,000
(a) Calculate r, the correlation coefficient between these two variables.
r =
(b) Interpret the value of r: the association is [Select an answer] and [Select an answer]
(c) Compute the regression line for predicting price from mileage.
y? = [ ] x + [ ]
(d) Predict the price of a car with 30,000 miles.
$
(e) Does the student with 43,000 miles on it have a higher or lower price than the one predicted by the regression line?
Higher
Lower
