On January 22, 2017, www.autotrader.com listed 55 used Honda Civics for sale by owner. Here’s a scatterplot of the asking price vs. the number of miles on the odometer (in thousands):

a) Do you think a linear model is appropriate?
Here is the regression model:

b) State the null and alternative hypotheses under investigation.
c) Assuming that the assumptions for regression inference are reasonable, find the t- and P-values.
d) State your conclusion.
Here is a plot of the residuals.

e) Do the assumptions and conditions for regression inference appear to be satisfied? If not, what would you suggest doing to improve the model?

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Price 20897 15897 10897 5897 + 0 + 50 100 150 200 Miles(000)