The Scatterplot Below Suggests a Linear Relationship Between the Age

question 13

Multiple Choice

The scatterplot below suggests a linear relationship between the age (in years) of an antique clock and its sale price (in euros) at auction. The data are age and sale price for 11 antique clocks sold at a recent auction. We fit the least-squares regression line to the model price =  +  (age) , where the deviations are assumed to be independent and Normally distributed, with mean 0 and standard deviation . A summary of the output is given. r² = 0.848
S = 33.1559 An approximate 95% confidence interval for the slope  in the simple linear regression model is:

• A)1.289 to 2.497 euros per year.
• B)1.289 to 2.497 euros.
• C)1.289 to 2.497 years per euro.
• D)None of the answer options is correct.

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Definitions:

Planning Budget

A budget prepared for a specific level of activity, often used for planning and coordinating actions.

Activity Variances

Differences between planned or budgeted amounts of costs or revenues and actual amounts incurred, attributable to specific activities.

Customers Served

The number or segment of clients or consumers to whom a business has provided goods or services.

Budgeting

The process of creating a plan to spend your money, outlining projected income versus expenses for a certain period.