\( \definecolor{colordef}{RGB}{249,49,84} \definecolor{colorprop}{RGB}{18,102,241} \)
A car dealership tracks the age of a specific car model (\(x\)) in years and its resale value (\(V\)) in thousands of dollars.
Age (\(x\)) 1 2 3 5 6 8
Value (\(V\)) 25 22 19 14 12 7
  1. Write down the equation of the regression line of \(V\) on \(x\) in the form \(V = ax + b\) using a calculator.
  2. Interpret the value of \(a\) in the context of the problem.
  3. Calculate the coefficient of determination, \(r^2\), and explain what it indicates.
  4. Estimate the value of a car that is 4 years old.
  5. Comment on the validity of using this model to estimate the value of a car that is 15 years old.

Capture an image of your work. AI teacher feedback takes approximately 10 seconds.