Financial Risk Manager Part 1

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Given a regression equation is of the form: $y_i = \alpha + \beta x_i$ where $Y$ is the dependent variable (foetal weight), $X$ is the independent variable (gestation period, in weeks), $\alpha =$ the y-intercept, and $\beta =$ the slope. If $\alpha = -4.60$ and $\beta = 0.2043$ , then estimate the weight of the foetus at exactly 31 weeks.

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NNikitesh

Last updated: February 2, 2026 at 10:22

1.533kg

1.733kg

1.722kg

1.8kg

Explanation:

The regression equation is given as: $y_i = \alpha + \beta x_i$

Where:

$y_i$ = dependent variable (foetal weight)
$x_i$ = independent variable (gestation period in weeks)
$\alpha = -4.60$ (y-intercept)
$\beta = 0.2043$ (slope)

To estimate the weight at 31 weeks: $y = \alpha + \beta \times x = -4.60 + 0.2043 \times 31$

First calculate: $0.2043 \times 31 = 6.3333 $Then:$ -4.60 + 6.3333 = 1.7333$

Therefore, the estimated weight is 1.733 kg.

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