"Used Cars" Statistics Coursework

        From my data I will be analyzing Mileage & Age. I will also look at price depreciation and the mean price depreciation.

 

Hypothesis

1. The Older the car, the cheaper it will be. I think this because the value of cars will go down in age.
2. The more the car has traveled, the cheaper it will be. I think this because a car becomes less efficient the more it has been driven.

Although I believe my hypothesis to be true, there could be outliers. The outliers could be due to rare models that go higher in price. Or there is a missing data value. I will determine these from my results.

Collection of Data

Carry Out

Age & Mileage

My results are showing a weak negative correlation. There are two outliers.

The two outliers are Mercedes. This leads me to conclude that Mercedes is more expensive. This could be because it is a business car.

My Results show no correlation; this would lead me to conclude that mileage has no effect on the selling price. I have repeated this scatter graph with a different sample of data and there was still no correlation.

Price Depreciation for Age & Mileage