Predicting Price Based on Trend Line Equation

Using the equation of the trend line y = -1.75x + 22

If there are 12 buyers, what do you predict the price of the item to be? Round to the nearest hundredth.

Based on the trend line equation, when there are 12 buyers, the predicted price for the item is approximately $5.71.

This suggests that as the number of buyers increases, the price of the item decreases, and vice versa, according to the given linear trend.

To predict the price (x) when there are 12 buyers (y), we can use the given equation of the trend line:

y = -1.75x + 22

Since we want to find the price (x) when there are 12 buyers (y), we can substitute y = 12 into the equation and solve for x:

12 = -1.75x + 22

First, subtract 22 from both sides of the equation:

-10 = -1.75x

Now, divide both sides by -1.75 to isolate x:

x = -10 / -1.75 ≈ 5.71

Rounding to the nearest hundredth, the predicted price when there are 12 buyers is approximately $5.71.

How does the predicted price change as the number of buyers increases or decreases?

The predicted price changes inversely with the number of buyers, following the trend line equation y = -1.75x + 22. As the number of buyers increases, the predicted price decreases, and as the number of buyers decreases, the predicted price increases.

← Decoding the versatile butter ganache slabbing vs piping Fan co s sales force organizational structure →

More Posts: