The following table lists a number of properties in a location popular as a vacation spot that have sold at auction.

1. What factors affect the winning bid?

2. Build a model to predict the winning bid.

3. What is the point prediction for the winning bid for a residential property coming up for auction on July 20, 2011, with an estimated value of $1,500,000?

4. Does this prediction change if there is a lot of interest in the property (that is, many bids are expected)?

5. Does the prediction change if the buyer is expected to be a non-resident?

6. What is the 95% prediction interval for the same property auction?