Question

Line of best fit:
Predicted income = 5189*GPA +44977.5
Calculate the residual for a student that graduates with a 3.0 GPA and has an income of 65000

Answer 1

Given that, Line of best fit, Predicted Income = 5189×GPA + 44977.5

And a student that graduates with 3.0 GPA and has an income of 65000.

Now, if a student get GPA 3.0 then form the line of best fit we get,

Predicted Income = 5189×3 + 44977.5 = 60544.5

Now residual defined as,

Residual:- (Observed Value - Predicted Value)

So for this problem residual for a student that graduates with a 3.0 GPA given by,

Residual = (Observed Income - Predicted Income)

= (65000 - 60544.5) = 4455.5

Final answer: Residual = 4455.5