Abby Kratz,a market specialist at the market research firm of Saez,Sikes,and Spitz,is analyzing household budget data collected by her firm.Abby's dependent variable is weekly household expenditures on groceries (in $'s) ,and her independent variables are annual household income (in $1,000's) and household neighborhood (0 = suburban,1 = rural) .Regression analysis of the data yielded the following table.
For what annual income will a suburban household and a rural household have the same predicted weekly grocery spending?
A) $120,082.9
B) $122,082.9
C) $124,082.9
D) The predicted weekly grocery spending of a rural household will always will be larger for a given annual income.
E) The predicted weekly grocery spending of a suburban household will always will be larger for a given annual income.
Correct Answer:
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