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According to the regression line in Exercise, the predicted amount of gas used when the outside temperature is 20 degree-days is about
(a) 405 cubic feet.
(b) 320 cubic feet.
(c) 105 cubic feet.
Exercise:
An owner of a home in the Midwest installed solar panels to reduce heating costs. After installing the solar panels, he measured the amount of natural gas used y (in cubic feet) to heat the home and outside temperature x (in degree-days, where a day's degree-days are the number of degrees its average temperature falls below 65oF) over a 23-month period. He then computed the least-squares regression line for predicting y from x and found it to be9
y = 85 + 16x
Required:
1. How much, on average, does gas used increase for each additional degree-day?
(i) 23 cubic feet
(ii) 85 cubic feet
(iii) 16 cubic feet
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