Ten used cars from a rental fleet are randomly selected. Each vehicle’s annual maintenance cost from the previous calendar year (y) is recorded as well as the vehicle’s current mileage (x). A simple linear regression is conducted on the data.
The regression equation is
Maint = 297 + 0.00636 Miles
Predictor Coef SE Coef T P
Constant 296.6 162.4 1.83 0.105
Miles 0.006357 0.003121 2.04 0.076
S = 279.775 R-Sq = 34.1% R-Sq(adj) = 25.9%
Analysis of Variance
Source DF SS MS F P
Regression 1 324727 324727 4.15 0.076
Residual Error 8 626192 78274
Total 9 950919
What is a 98% confidence interval for the mean annual repair cost of all used vehicles with 22,500 miles.=> (Given: Sxx= 8,036,677,024 and\(\style{font-family:Times New Roman;}{\overline x}\)= $43,627.700.)
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$(120.00, 759.20)
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$(–431.51, 1,310.72)
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$(22,199.25, 22,800.75)
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$(128.29, 750.91)
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