[EX03-072] The following data are a sample of the ages, x (years), and the asking prices, y

($1000), for used Honda Accords that were listed on AutoTrader.com on March 10, 2005:

x y x y x y 3 24.9 7 11.9 6 16.4 7 9.0 6 15.2 4 21.2 5 17.8 2 25.9 3 24.9 4 29.2 2 26.9 5 20.0 6 15.7 4 23.8 7 13.6 3 24.9 5 19.3 5 18.8 2 25.7 4 21.9 Source: http://autotrader.com

a. Draw a scatter diagram.

b. Calculate the equation of the line of best fit.

c. Graph the line of best fit on the scatter diagram.

d. Predict the average asking price for all Honda Accords that are 5 years old. Obtain this answer in two ways: using the equation from part b and using the line drawn in part c.

e. Can you think of any potential lurking variables for this situation? Explain any possible role they might play.