The ages and prices of 6 Ford Taurus sedans at dealer- ships in the Nashville area are shown in Table 36.

Let x be the age (in years) and y be the price (in thousands of
dollars), both for a Ford Taurus sedan.
a. Construct a scatterplot.
b. Find the linear regression equation.
c. The equation of the line that contains the data points (4, 13) and (10, 5) is = - 1.33x + 18.33. Graph the equation and the regression equation on the same scatterplot. Describe how well each line fits the data points.
d. Find the sum of squared residuals for the linear model = - 1.33x + 18.33.
e. Find the sum of squared residuals for the regression line.
f. Compare the results you found in parts (d) and (e) and explain why your comparison is not surprising.

Transcribed Image Text:

Table 36 Ages and Prices of Some Ford Taurus Sedans Age in years) Price thousands of doliars) 13 10 12 10