Write the system of linear equations

Reference no: EM132966144

Questions

Part A

At $0.65 per gallon, the daily supply for wheat is 450 gallons and the daily demand is 640 gallons. When the price is raised to $0.80 per gallon, the daily supply increases to 700 gallons and the daily demand decreases to 520 gallons. The supply and demand equations are linear

A1.1 Write the system of linear equations

A1.2 Solve the system of linear equations by Matrix method A1.3 Comment on the results obtained

Part B

An auto manufacturing company wanted to investigate how the price of one of its car models depreciates with age. The research department at the company took a sample of eight cars of this model and collected the following information on the ages (in years) and prices (in hundreds of dollars) of these cars.

Age	8	3	6	9	2	5	6	3
Price	45	210	100	33	267	134	109	235

B1.1 Construct a scatter diagram for these data. Does the scatter diagram exhibit a linear relationship between ages and prices of cars?

B1.2 Determine the regression line with price as a dependent variable and age as an independent variable. By the method of Least Squares

B1.3 Give a brief interpretation of the values of a and b calculated.

B1.4 Plot the regression line on the scatter diagram of part a and show the errors by drawing vertical lines between scatter points and the regression line.

B1.5 Predict the price of a 7-year-old car of this model. B1.6 Estimate the price of an 18-year-old car of this model.

B1.7 Comment on this finding

Attachment:- Business mathematics.rar

Reference no: EM132966144

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