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The straight-line model, E(y) = ?0 + ?1x , where y = exam score (ranging from 0

ID: 2909303 • Letter: T

Question

The straight-line model, E(y) = ?0 + ?1x , where y = exam score (ranging from 0 to 100 points) and

x= amount paid to a teacher (dollars) yielded the following prediction equation: y-hat = 65 + 2x

Give a practical interpretation of the estimated slope of the line.

We estimate exam score to increase 2 points for every 1 dollar increase in amount paid to a teacher.

We estimate exam score to increase 65 points for every 1 dollar increase in amount paid to a teacher.

We estimate exam score to be 2 points when 0 dollars are paid to a teacher.

Explanation / Answer

We estimate exam score to increase 2 points for every 1 dollar increase in amount paid to a teacher.

y(hat ) at x=0 =65

y(hat) at x=1 =65+2=67

y(hat) at x=2= 65+4=69

so it is increasing 2 points

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