Suppose milk is produced in a certain area. Some people might argue that because of transportation costs, the cost of milk increases with the distance of markets from that area. Suppose the milk prices in eight cities are as follows. Cost of Milk Distance from (per 2 L) Milk-Producing Area (km) $2.66 1,245 2.31 425 2.45 1,346 2.52 973 2.19 255 2.52 865 2.40 1,080 2.37 296 a. Use the prices along with the distance of each city from the milk-producing area to develop a regression line to predict the price of 2 L of milk by the number of kilometres the city is from the milk-producing area.

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