The table shows the gross income tax collections (in billions of dollars) by the Internal Revenue Service for individuals and businesses for selected years. (Source: U.S. Internal Revenue service)
Year
1980
1985
1990
1995
Individual, x
288
397
540
676
Business, y
72
77
110
174
Year
2000
2005
2010
2015
Individual, x
1137
1108
1164
1760
Business, y
236
307
278
390
(a) Use the regression capabilities of a graphing utility to find the least squares regression line for the data.
(b) Use the model to estimate the business income taxes collected when the individual income taxes collected is $1300 billion.
(c) In 1975, the individual income taxes collected was $156 billion and the business income taxes collected taxes collected was $46 billion. Describe how including this information would affect the model.
