Question: please provide proper solution Question 10 (1 point) While attempting to measure its risk exposure for the upcoming year, an insurance company notices a trend
please provide proper solution

Question 10 (1 point) While attempting to measure its risk exposure for the upcoming year, an insurance company notices a trend between the age of a customer and the number of claims per year. It appears that the number of claims keep going up as customers age. After performing a regression, they find that the relationship is (claims per year) = 0.442" (age) + 2.988. If a customer is 34.484 years old and they make an average of 11.82 claims per year, the residual is -6.41. Interpret this residual in terms of the problem. 1) The number of claims per year is 6.41 claims less than what we would expect. 2) The number of claims per year is 6.41 claims greater than what we would expect. (3) The number of claims per year is 11.82 claims less than what we would expect. ( 4) The age is 6.41 years larger than what we would expect. ( 5) The age is 6.41 years less than what we would expect
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