Exercise 18 shows computer output examining the association between the sizes of houses and their sale prices.

a) Check the assumptions and conditions for inference.
b) Find a 95% confidence interval for the slope and interpret it.

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800 600 2 400 200. 1.25 2.50 3.75 5.00 Size (1000ft2) Dependent variable is: Price quared-: 59.5% s# 53.79 with 1064-2#1062 degrees of freedom Variable Coefficient SE(Coeff) t-Ratio P-Value Intercept 3.1169 Size 4.688 -0.665 0.5063 2.393 39.465 <0.0001 94.4539 300 -150 125 250 375 500 Predicted 400 300 200 100 200 Residuals ($1000s)