1. Lesson 2.2
Linear Regression

2. Slope and y-intercept
Do the investigation on page 171 #1-4.

3. Residual
The vertical deviation of each data point from the line of best fit
Residuals are positive for points above the line, and negative for points below the line.

4. Least Squares Formulae
It's a linear equation, but how do we find m and b?
Yikes! Aren't you glad we have
computers?

5. We can use the least-squares method to find the equation of a line.
Age (years)
Annual Income (000) x2 XY 33 25 31 19 18 44 52 50 56 54 60 38 29 35
Sum =
Calculate m and b:

6. Effects of Outliers
Textbook see example 3 on page 177.

7. Practice Questions Page 180 #1, 2 (excel), 3, 4 (excel), 5, 7
When the question says “use linear regression to model these data”, they mean use the least squares formula to calculate the slope and y-intercept (by hand)
Practice Questions