Mary used a sample of 68 large u. s. cities to estimate the relationship between crime(annual property crimes per 100,000 persons) and income (median annual income per capita, in dollars). her estimated regression equation was crime = 428 + 0.050 income. if income decreases by 1000, we would expect that crime will:

decrease by 50
go up by 428
increase by 50
remain unchanged

In a fixed-term, level-payment reverse mortgage, sometimes called a reverse annuity mortgage, or ram, a lender agrees to pay the homeowner a monthly payment, or annuity, and expects to be repaid from the homeowner’s equity when he or she sells the home or obtains other financing to pay off the ram. consider a household that owns a $150,000 home free and clear of mortgage debt. the ram lender agrees to a $100,000 ram for 10 years at 6 percent. assume payments are made annually, at the beginning of each year to the homeowner. calculate the annual payment on the ram.