Sporty cars are designed to provide better handling, acceleration, and a more responsive driving experience than a typical sedan. But, even within this select group of cars, performance as well as price can vary. Consumer Reports provided road- test scores and prices for the following 10 sporty cars. Prices are in thousands of dollars and road- test scores are based on a 0- 100 rating scale, with higher values indicating better performance.
Car Price ($1,000s) Road Test Score
Chevy Cobalt 24.5 78
Dodge Calber 24.9 56
Ford Mustang 29 73
Honda Civic 21.7 78
Mazda 31.3 86
Mini Cooper 26.4 74
Mitsubishi Lancer 38.1 83
Nissan Sentra 23.3 66
Subaru WRX 25.2 81
Subaru WRX (STI) 37.6 89
a. Develop a scatter diagram with price as the independent variable.
b. What does the scatter diagram developed in part (a) indicate about the relationship between the two variables?
c. Use the least squares method to develop the estimated regression equation.
d. Provide an interpretation for the slope of the estimated regression equation.
e. Another sporty car that Consumer Reports tested is the BMW 135i; the price for this car was $ 36,700.
Predict the road- test score for the BMW 135i using the estimated regression equation developed.