A well-educated lumberjack decides to use linear regression to predict the demand for firewood based on the ambient temperature.He has collected data on firewood sales and temperature for the last several days and has performed some preliminary calculations as shown in the table.What is his regression equation based on the data?
A) Ricks = 50.6 - 0.93 × Temp
B) Temp = 53.3 - 1.0 × Ricks
C) Ricks = 0.93 - 50.6 × Temp
D) Temp = 1.0 - 53.3 × Ricks

Question

A well-educated lumberjack decides to use linear regression to predict the demand for firewood based on the ambient temperature.He has collected data on firewood sales and temperature for the last several days and has performed some preliminary calculations as shown in the table.What is his regression equation based on the data? 
A) Ricks = 50.6 - 0.93 × Temp 
B) Temp = 53.3 - 1.0 × Ricks 
C) Ricks = 0.93 - 50.6 × Temp 
D) Temp = 1.0 - 53.3 × Ricks

Quizplus · Accepted Answer

Based on the given data, the regression equation for predicting firewood sales (Ricks) based on temperature is: 
Ricks = 50.6 - 0.93 × Temp 
This is because the slope of the regression line (i.e., the coefficient for temperature) is negative (-0.93), indicating an inverse relationship between temperature and firewood sales. The intercept is 50.6, which represents the predicted value of firewood sales when the temperature is zero (which is not applicable in this case, but is still useful for interpreting the equation). Therefore, choice A is the correct regression equation for this data.

A Well-Educated Lumberjack Decides to Use Linear Regression to Predict