Question: Scatter plots help us in determining the relation between the two variables and also helps us in visualizing the presence of the outliers. Outliers are
Scatter plots help us in determining the relation between the two variables and also helps us in visualizing the presence of the outliers. Outliers are the values that lie at the extreme or far from the other values. Regression model is not only used to describe the relationship between a dependent variable (also called the response variable or outcome) and one or more independent variables (also called predictors or explanatory variables) but also it helps in prediction and somehow this is the main role of regression in the business. This model helps us to decide whether linear regression equations can be used to predict price based on the size (Square feet). Area is used as the predictive variable because the price is decided according to the area
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