Data Were Collected on Y = Price of Car (In

question 37

Multiple Choice

Data were collected on y = price of car (in dollars) and x = age of car (in years) for each car in a sample of 60 used Toyota Camrys. A scatterplot showed a negative linear relationship between x and y. The least squares regression line was fit and the value was computed. If , which of the following is a correct statement? ​

• A)The correlation coefficient is positive, r = 0.55
• B)If the least-squares line is used to predict car price based on number of miles driven, predictions should be within $0.55 of the true price.
• C)There is a very strong linear relationship between car price and number of miles driven.
• D)For each additional mile driven, car price increases by approximately $0.55
• E)Approximately 55% of the variability in car price can be explained by the linear relationship between car price and number of miles the car has been driven.

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