Emily Smith decides to buy a fuel-efficient used car. Here are several vehicles she is considering, with the estimated cost to purchase and the age of the vehicle.

	Y	X
Vehicle	Estimated Cost ($)	Age (Years)
Honda Insight	2130	10
Toyota Prius	12236	6
Toyota Prius	12136	8
Toyota Echo	14876	4
Honda Civic Hybrid	18966	1
Chevrolet Prizm	12494	9
Mazda Protg	13870	5
Toyota Corolla	12188	6
Acura Integra	18230	1
Scion xB	4589	11
Scion xA	7715	9
Mazda 3	6371	11
Mini Cooper	15293	9

Click here for the Excel Data File. Data file should open in a new browswer window. Select "File" then "Save As" to download the file to your computer and be able to use it in Excel.

a. Develop a trendline and state the following: (2 points) (Coefficients should be round to 3 decimal places and the regression equation should be rounded to 2 decimal places. Negative values should have a minus sign in front of them)

Correlation Coefficient:

Coefficient of Determination:

Regression equation: y = + x

b. Interpret the meaning of the slope. (1 point)

c. Estimate the cost of a car that is 6 years old. (1 point) (Round to 2 decimal places.)

Conduct the hypothesis test to determine whether the regression slope coefficient is equal to 0. Test using a significance level of 0.05.

d. What are the null and alternate hypotheses? (1 point)

H₀: (Click to select) ^2 (Click to select) = < > 0

H₁: (Click to select) ^2 (Click to select) = < > 0

e. Compute the value of the test statistic? (1 point) (Round your answer to 2 decimal places. Negative values should have a minus sign in front of them)

f. Determine the p-value (1 point) (Round your final answer to 4 decimal places.)

g. What is your decision regarding the null hypothesis? (1 point)

multiple choice 5

Reject the null.

Fail to reject the null.

h. Interpret the result. (1 point)