Assignment:
Response and Predictor Variables The regression equation yˆ= -3528 + 1.02x1 - 1.94x2 is obtained using sample data consisting of home selling prices (based on Data Set 23 in Appendix B). In that equation, yˆ represents the predicted selling price, x1 represents the list price, and x2 represents the annual tax amount. Identify the response variables and predictor variables. In general, how do a response variable and a predictor variable differ?