uestion 136.25pts

Each month a bank adjusts the initial interest rate it offers to customers who wish to open a new high-yield savings account.

The bank might offer an initial interest rate of 8%. The bank wants to predict the average daily number of new accounts to expect per day if the interest rate is 8%. Should the regression line be used to make this prediction?

Group of answer choices

Yes, as the model probably has a very high r 2 value.

Yes, as the model appears to have a strong linear association, and the residual values appear small in size.

No, because the model was developed using only initial interest rate values from 0.5% to 3.8%, so it is risky to assume that the linear trend will continue far beyond that span of values.