Problem 4: Price-fixing Litigation(5 points) Background: Multiple regression is sometimes used in litigation. In the case of Cargill, Inc. v. Hardin, the prosecution charged that the cash price of wheat was manipulated in violation of the Commodity Exchange Act. In a statistical study conducted for this case, a multiple regression model was developed to predict the price of wheat using three supply- and demand explanatory variables. Data for 14 years were used to construct the regression equation, and a prediction for the suspect period was computed from this equation. The value of R2 was 0.989. Problem: Cargill, Inc. had priced the wheat at $2.13. Their legal team needed to demonstrate that the price was not artificially depressed. For purposes of this project, suppose the sample size was 100. Requirements: 1.(2.5 points) For the relevant case, the fitted model gave the predicted value $2.136 with standard error $0.013. Based on this, determine the 95% prediction interval for the price of wheat. 2.(2.5 points)

the answer is:

the correct option:

b.

to solve the problem, we need to remember how to operate to simplify exponential expressions using the logarithms.

we are given the equation:

then, using placing logarith with base 7 on both sides of the equation, we have:

so, rounding the obtained result to two decimal places (nearest hundreth), we have:

hence, we have that the correct option:

b.

have a nice day!

one way is to plot 2 points and connect them which is what the answer choices seem to be doing

it seems to be using the y intercept and the slope

y=mx+b, m=slope, b=y-intercept (where the line hits the y axis)

slope=rise/run

y-intercept is where the line croses the y axis which is the y value where x=0

you seem to have given the wrong slope (you didn't put a number in front of te x, it should be 2/3 or 3/2 looking at the answer options)

y=? x-1

m=? because of your fault

b=-1

so it has a slope of ? and y intercept of -1, meaning it pases through (0,-1)

so draw point (0,-1) (so answer is one of the first 2 option)

if slope is 2/3, then go up 2 and right 3 then draw line through those 2 points

if slope is 3/2, then go up 3 and right 2 then draw line through those 2 points

answer is c.

quadrilateral

hope you got it chief