Question

The scatter plot shows the trade-in value and private-party value of 10 cars. The equation for the regression line is = 1.106x + 0.942. Based on the equation, which statement is true? Missing Metadata For each increase of $1000 in private-party value, the trade-in value increases by $942. For each increase of $1000 in private-party value, the trade-in value increases by $1106. For each increase of $1000 in trade-in value, the private-party value increases by $1106. For each increase of $1000 in trade-in value, the private-party value increases by $942.

Answer 1

I couldn't locate the exact scatter plot for this exact problem, but based on different versions of this problem, the independent variable (x) is the trade-in value and the dependent variable (y) is the private party value, both units are in thousands.

looking at the equation, y = 1.106x + 0.942, notice how the slope is 1.106. this means that the y variable increases by 1.106 * 1000 (remember, our units are in thousands) for every 1 * 1000 change in x. keeping in mind what x and y stand for in this problem, what do you think the answer is?

Answer 2

I'll format the answer choices to be easier to read.

- For each increase of $1000 in private-party value, the trade-in value increases by $942.
- For each increase of $1000 in private-party value, the trade-in value increases by $1106.
- For each increase of $1000 in trade-in value, the private-party value increases by $1106.
- For each increase of $1000 in trade-in value, the private-party value increases by $942.