would someone please work this problem out in steps so I can understand it. book not helping confusing me more. A study was conducted to investigate the relationship between the cost, y (in tens of thousands of dollars), per unit of equipment manufactured and the number of units produced per run, x. The resulting equation for the line of best fit is given below, with x being observed for values between 10 and 200. If a production run was scheduled to produce 55 units, what would you predict the cost per unit to be in dollars?
yhat = 7.88 − 0.05x
Here is your equation:
yhat = 7.88 - 0.05x
Substitute 55 for x and solve for yhat (that will be your predicted value).
I'll show you how this is done:
yhat = 7.88 - 0.05(55) = 7.88 - 2.75 = 5.13
yhat = 5.13 (cost per unit)
I hope this helps.
To predict the cost per unit in dollars given the equation for the line of best fit, we need to substitute the given value of x into the equation and solve for y.
Let's go through the steps:
Step 1: Given the equation:
yhat = 7.88 - 0.05x
Step 2: Substitute the value of x = 55 into the equation:
yhat = 7.88 - 0.05(55)
Step 3: Perform the multiplication:
yhat = 7.88 - 2.75
Step 4: Combine the terms:
yhat = 5.13
Step 5: Interpret the result:
The predicted cost per unit for a production run of 55 units would be $5.13 (in tens of thousands of dollars).
Therefore, the predicted cost per unit in dollars would be $51,300.
Note: It's important to keep in mind that the original equation specifies y in tens of thousands of dollars. So, we need to multiply the answer by 10,000 to get the cost in dollars.