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A survey is conducted to determine whether the age of car influences the annual maintenance cost. A sample of 10 cars is selected and the
A survey is conducted to determine whether the age of car influences the annual maintenance cost. A sample of 10 cars is selected and the data is shown below.
Age of Car (months) x | Annual Maintenance Costs ($) y |
---|---|
3 | 120 |
5 | 115 |
6 | 135 |
7 | 290 |
9 | 275 |
10 | 300 |
11 | 350 |
13 | 475 |
14 | 500 |
15 | 550 |
a. Test whether each of the regression parameters and is equal to zero at a 0.05 level of significance.
b. Interpret the estimated regression parameters. Are these interpretations reasonable?
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