Zagat restaurant guides publish ratings of restaurants for many large cities around the world. The restaurants are rated on a 0 to 30 point scale based on quality of food, decor, service, and cost. Suppose the regression equation that predicts the cost of dinner using the rating of the quality of food for the restaurants in a particular city is (cost of dinner) = 3.64*(food quality) + 2.77. If a restaurant in the city was given a Zagat rating of 27 and the average cost of dinner there is $74.35, what is the residual?

Question 4 options:

1)26.7

2)-74.05

3)-26.7

4)-47.35

5)47.35