Based on the residual plot, is the linear model appropriate?
Janice is considering buying a new home. She wants
to estimate the monthly utilities (heating and air
conditioning). She figures that the utilities are
dependent on the size (square footage) of the home.
She collects data on 10 homes in the neighborhood
and finds a linear model to give the relationship
between the size of the home and the monthly utilities.
The equation of the line is ý= -8.1 + 1.91x, where ýis
the mean monthly cost in utilities and x is the square
footage of the home. The residual plot is shown.
O No, there is no clear pattern in the residual plot
Yes, there is no clear pattern in the residual plot.
O No, there are no homes between 2.300 and 2.900
square feet
O Yes, half of the residuals are positive and half are
negative
60
40
Residual
20
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