In a Study of 30 Customers' Utility Bills in Which

question 90

True/False

In a study of 30 customers' utility bills in which the monthly bill was the dependent variable and the number of square feet in the house is the independent variable,the resulting regression model is = 23.40 + 0.04x.Given this model,for a customer with a 2,000 square foot house and a monthly utility bill equal to $100.00,the residual from the regression model is approximately -$3.40.

---

Definitions:

Income

The financial gain earned by an individual or a business, typically through employment, investments, or sales.

Physical Capital

Tangible assets such as buildings, machinery, and equipment used in the production of goods and services.

Natural Resources

Raw materials and environmental assets that occur naturally on the planet, such as water, minerals, and forests, which can be utilized for economic gain.

Production Function

An equation or model that describes the relationship between inputs used in production and the output of goods or services.