A landscaping company has collected data on home values (in thousands of $) and expenditures (in thousands of $) on landscaping with the hope of developing a predictive model to help marketing to potential new clients. Suppose the following table represents data for 14 households.HomeValue($1,000)LandscapingExpenditures($1,000)2438.232210.719912.334016.330015.740018.880023.52009.552217.554822.043812.246313.563517.835713.8a. Use the least squares method to develop the estimated regression equation. (Let x = home value (in thousands of $), and let y = landscaping expenditures (in thousands of $). Round your numerical values to five decimal places.)b. Use the equation estimated in part (b) to predict the landscaping expenditures (in $) for a home valued at $275,000. (Round your answer to the nearest dollar.)

Answered: A landscaping company has collected…

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018

18th Edition

ISBN:9780079039897

Author:Carter

Publisher:Carter

Chapter4: Equations Of Linear Functions

Section4.5: Correlation And Causation

Problem 12PPS

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A landscaping company has collected data on home values (in thousands of $) and expenditures (in thousands of $) on landscaping with the hope of developing a predictive model to help marketing to potential new clients. Suppose the following table represents data for 14 households.

Home Value ($1,000)	Landscaping Expenditures ($1,000)
243	8.2
322	10.7
199	12.3
340	16.3
300	15.7
400	18.8
800	23.5
200	9.5
522	17.5
548	22.0
438	12.2
463	13.5
635	17.8
357	13.8

a. Use the least squares method to develop the estimated regression equation. (Let x = home value (in thousands of $), and let y = landscaping expenditures (in thousands of $). Round your numerical values to five decimal places.)

b. Use the equation estimated in part (b) to predict the landscaping expenditures (in $) for a home valued at $275,000. (Round your answer to the nearest dollar.)

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