11.5 Simon Berk, president of Food Unlimited, has asked you to study the relationship between market price

Question:

11.5 Simoné Berk, president of Food Unlimited, has asked you to study the relationship between market price

(euros) and the amount of rice (kg) supplied by her competitor, Good Food, Inc. Simoné supplies you with the following observations, of price per kg and number of kgs, obtained from the company’s database:

Price (x) 3 5 4 7 4 6 7 3 Quantity (y) 5 10 8 16 6 15 20 4

a. Prepare a scatter plot.

b. Determine the regression coefficients, b0 and b1.

c. Write a short explanation of the regression equation that tells Simoné how the equation can be used to describe her competition. Include an indication of the range over which the equation can be applied.