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.

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The predicted utility bill for a 2,000 square foot house is 23.40 + 0.04(2000) = $103.40. The actual bill is $100.00, so the residual is $100.00 - $103.40 = -$3.40.

In a Study of 30 Customers' Utility Bills in Which