CFA Practice Question

There are 208 practice questions for this study session.

CFA Practice Question

If you run linear regression on a set x-y data and obtain the results shown below then the predicted y-value for x = 60 is ______.

A. 58.92
B. 51.01
C. 124.81
Correct Answer: B

The linear regression equation (prediction equation) is y = -1.23x + 124.81. So, the predicted value of x = 60 is y = -1.23(60) + 124.81 or y = 51.01

User Contributed Comments 1

User Comment
charomano Just to confirm the value of the y-intercept:

b = Yave + a*Xave = 58.92 - (-1.23)(53.57) = 124.81
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