A manager wishes to predict the annual cost (y)of an automobile based on the number of miles (x)driven.The following model was developed: ŷ = 2,000 + 0.42x.If a car is driven 20,000 miles, the predicted cost is ____________.
A)10,400
B)20,000
C)2,840
D)6,200
E)6,750

Question

Quizplus · Accepted Answer

The predicted cost is calculated by substituting x = 20,000 into the model: ŷ = 2,000 + 0.42(20,000) = 2,000 + 8,400 = 10,400.

A Manager Wishes to Predict the Annual Cost (Y)of an Automobile