Answer:
[tex] \hat y = 8.5*2 -5 = 12[/tex]
And the residual is defined as:
[tex] e_ i = y_i -\hat y_i [/tex]
And replacing we got:
[tex] e_i = 20-12 = 8[/tex]
Step-by-step explanation:
For this case we know that the amount of money 'y' made at a laundromat after 'x' months can be represented by the linear function:
[tex] y = 8.50 x -5[/tex]
And fter two months we know that the laundromat made 20 dollars. And if we use the linear function we got:
[tex] \hat y = 8.5*2 -5 = 12[/tex]
And the residual is defined as:
[tex] e_ i = y_i -\hat y_i [/tex]
And replacing we got:
[tex] e_i = 20-12 = 8[/tex]