A Manager of a car company wants to estimate the relationship between age of cars and annual maintenance cost. The following data from six cars of same model are obtained as:
| Age of Car (in years) | Annual Maintenance Cost (In hundred rupees) |
| 1 | 10 |
| 2 | 15 |
| 3 | 18 |
| 4 | 20 |
| 5 | 25 |
| 6 | 35 |
(a) Construct a scatter diagram for the data given above.
(b) Fit a best linear regression line, by considering annual maintenance cost as the dependent
variable and the age of the car as the independent variable.
(c) Use this regression line to predict the annual maintenance cost for the car of age 8 years
(a) Scatter Diagram
To construct a scatter diagram, you can follow these steps:
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Label the axes: On the x-axis, label it "Age of Car (Years)" and on the y-axis, label it "Annual Maintenance Cost (Hundred Rupees)".
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Plot the data points: For each car, plot a point where the x-coordinate represents the car's age and the y-coordinate represents its annual maintenance cost. The data points are:
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(1, 10)
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(2, 15)
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