Thursday, June 7, 2012

Ch2 Project explains that the house I currently live in is worth $225,100. In 1996, when we moved in it was worth about $484,000. To find the graph I used X for the number of years and Y for the value. Then I used the quartic regression, because r2 =0.96 which was the closest compared to other regression models. The quartic regression is y= 435.17x4-3491771.47x3+1.05x2-7.04, the house could reach a value of $100,000 in 2027. The value of the house could change depending on various factors, such as the color of the paint the other houses in the neighborhood has.

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