All solutions here are SUGGESTED. Mr. Teng will hold no liability for any errors. Comments are entirely personal opinions.

(a)

(i)

(ii)

(b)

(i)

Model A:

Model B:

(ii) Since the is close to 1 for Model B, Model B is the better model.

(3 S.F.)

(iii) Required estimated price

Personal comments:

(a) is rather straight forward so long as you follow the given instructions, bear in mind the graph is quadratic in nature. Since no scatter was drawn in part (b), we can simply justify the choice of regression model using the r-value found.

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