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Question: The linear relationship between the number of bedrooms a house has and the selling price of the house (in dollars) is analyzed for a sample of n = 250 recently sold houses in a large metropolitan area. The sample regression line isPredicted selling price = 144000 + 50000 (Bedrooms)
a. Give the value of the slope of the regression line, and write a sentence that interprets it in the context of this situation.
b. Predict the selling price for a house with three bedrooms.
c. Suppose that a three-bedroom house sold for $300,000. What is the residual for this house?
d. Explain in words what the residual you found in part (c) indicates about the relationship between the selling price for this house and the estimated mean selling price for three-bedroom houses.
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