The data show the list and selling prices for several expensive homes. Find the regression equation, letting the first variable be independent (x) variable. Find the best predicted selling price of a home having a list price of $4 million.
List price (millions of $) 3.2 2.3 4 3.7 1.6 2.9
Selling price (millions of $) 3.4 2 4.2 4 1.5 2.8
What is the regression equation?
What is the best predicted value?
See attached file.
The solution provides step by step method for the calculation of regression analysis. Formula for the calculation and Interpretations of the results are also included.