Question

Cars from an online service were examined to see how fuel efficiency​ (highway mpg) relates to cost​ (in dollars). According to the regression​ equation, a used car that costs​ $13,000 is predicted to get about 30.24 miles per gallon. According to the​ data, the car got 35 miles per gallon. What is the value of the residual for this​ car?

Answer 1

The correct answer is 4.76.

Step-by-step explanation:

According to the scenario, the computation of the given data are as follows:

Actual value = 35 Miles

Predicted value = 30.24 Miles

So, we can calculate the residual value of the car by using following formula:

Residual Value = Actual Value - predicted value from independent variables

By putting the value in the formula, we get

Residual value = 35 - 30.24

= 4.76