A line of best fit refers to a line through a scatter plot or scatter graph of data points that indicates the best relationship between the points. The process of finding this line is called Linear Regression.
How to obtain the line of best fit
This line can be obtained by making a line beween the plot so that there are roughly equaly points on both sides of the line. (See attached diagram)
Linear regression, in real life, is used to make forecasts and evaluate trends in business or a market.
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