Question

PLEASE HELP ME WITH:

A real estate agent made a scatter plot with homeowners' property taxes on the y-axis and the sizes of their homes, in square feet, on the x-axis. The variables have a strong linear correlation and the equation for the least squares regression line is = 2.098x – 254.098.

Based on the equation, what should the agent expect the property taxes to be for a 1300-square-foot home in the area?

a) $2727.40
b) $2473.30
c) $1045.90
d) $1554.10

Answer 1

b.  If square-foot is on the x-axis then we can substitute for x in the equation and solve, and when we do, we get 2473.302 which is is B when rounded. 

Answer 2

The correct option is b.

Explanation:

It is given that y-axis of a scatter plot represents the property taxes and x-axis represents the sizes of their homes, in square feet.

The equation of least squares regression line is

`y=2.098x-254.098`

We have to find the property taxes to be for a 1300-square-foot home in the area.

Substitute x=1300 in the given equation.

`y=2.098(1300)-254.098`

`y=2727.4-254.098`

`y=2473.302`

`y\approx 2473.30`

The property taxes for a 1300-square-foot home in the area is $2473.30. Therefore the correct option is b.