Consider the following scatter plot and regression line. At x = 50, the residual (error term) is ___.

A) positive
B) zero
C) negative
D) imaginary
E) unknown

Question

Consider the following scatter plot and regression line. At x = 50, the residual (error term) is ___.

A) positive 
B) zero 
C) negative 
D) imaginary 
E) unknown

Quizplus · Accepted Answer

At x = 50, the actual y-value is around 70, but the predicted y-value based on the regression line is around 81. Therefore, the residual is the difference between the actual and predicted y-values, which is negative 11.

Consider the Following Scatter Plot and Regression Line