Reading scores for the elementary schools in your district have just been announced, and you want to know whether the elementary school attended by your child is doing a good job or not. You gather the test scores and the percentage of poverty in each school and use Excel to create a regression formula that predicts test scores based on the level of poverty in each school.

The regression formula is PredictedScore = 71 - 0.61*PovertyPercentage.

Question

Reading scores for the elementary schools in your district have just been announced, and you want to know whether the elementary school attended by your child is doing a good job or not. You gather the test scores and the percentage of poverty in each school and use Excel to create a regression formula that predicts test scores based on the level of poverty in each school. 

The regression formula is PredictedScore = 71 - 0.61*PovertyPercentage.

anonymous · Answer

About 54% of the kids at your child's school are eligible for free lunch (a measure of poverty) and the median score for the school was 57. Calculate the predicted score and then the residual. 

 
Which of the answers below is correct? 
       The residual is -12, which means the school is doing quite a bit worse than predicted.
       The residual is -2, which means the school is doing about the same as predicted.
       The residual is 5, which means the school is doing a bit better than predicted.
       The residual is 19, which means the school is doing a lot better than predicted.