We predict the amount that a car is worth by it's age (in years). We run a linear regression and obtain the following parameter estimates. b0 = 50,000 b1 = -1,500 How much would you predict a car aged 25 years is worth? Answer:

Operations Research : Applications and Algorithms
4th Edition
ISBN:9780534380588
Author:Wayne L. Winston
Publisher:Wayne L. Winston
Chapter24: Forecasting Models
Section24.8: Multiple Regression
Problem 8P
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We
predict the amount that a car is worth by it's age (in years). We run a linear regression and obtain the following parameter estimates.
b0 = 50,000
b1 = -1,500
How much would you predict a car aged 25 years is worth?
Answer:
Transcribed Image Text:We predict the amount that a car is worth by it's age (in years). We run a linear regression and obtain the following parameter estimates. b0 = 50,000 b1 = -1,500 How much would you predict a car aged 25 years is worth? Answer:
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