INCOME Is Regressed on Years of Schooling (EDUC)

Multiple Choice

INCOME is regressed on years of schooling (EDUC) . The regression equation indicates that each additional year of schooling increases income by $1,200 and persons with no schooling have an income of $300. Which of the following is the correct regression equation?

A) INCOME = 300 − 1200(EDUC)
B) INCOME = 300 + 1200(EDUC)
C) INCOME = 1200 + 300(EDUC)
D) INCOME = 1500(EDUC)