Question: solve in simple form Provide an appropriate response. A large national bank charges local companies for using its services. A bank official reported the results
solve in simple form
Provide an appropriate response. A large national bank charges local companies for using its services. A bank official reported the results of a regression analysis designed to predict the bank's charges (y), measured in dollars per month, for services rendered to local companies. One independent variable used to predict service charge to a company is the company's sales revenue (x), measured in millions of dollars. Data for 21 companies who use the bank's services were used to fit the model, ;= Bo + 1x. The results of the simple linear regression are provided below. v=12,700 + 20x Interpret the estimate of Bq, the y-intercept of the line. O For every $1 million increase in sales revenue, we expect a service charge to increase $2,700. O All companies will be charged at least $2,700 by the bank. O About 95% of the observed service charges fall within $2,700 of the least squares line. O There is no practical interpretation since a sales revenue of $0 is a nonsensical valueStep by Step Solution
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