statistics

posted by .

A regression analysis between sales (in $1000) and advertising (in $100) resulted in the following least squares line: = 75 + 6x. This implies that if advertising is $800, then the predicted amount of sales (in dollars) is:
A) $4875
B) $123,000
C) $487,500
D) $12,300

  • statistics -

    the function of sales (in $1000) f(x) is given by 75+6x where x is advertising dollars in $100.

    f(x) = 75+6x
    when advertising dollars = $800, x=8
    substituting in the above equation,
    f(x) = 75+6*8 = 123
    So sales = 123 * $1000 = ??

  • statistics -

    Thank you, MathMate

  • statistics -

    You're welcome!

  • statistics -

    judy has a flower shop and is considering increasing her advertising budget. she has been advertising in the local newspaper for the past five weeks and the following table reveals to her that her sales are directly tied to the amount of money she spends on advertising. use a linier regression analysis for the volume of sales.

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. Econ

    A firm faces the following sales function: Q=5,000-10P+40A+PA-0.8A^2-0.5P^2 where Q is sales, P is price(dollars), and A is advertising expenditures (in hundreds of dollars). Calculate the price and advertising levels that maximize …
  2. statistics

    a sales manager used linear regression to find the positive linear relationship between advertising expenditures and sales. The amount of advertising expenditures used to generate the regression equation ranged from $8,000 to $45,000. …
  3. math 115

    The following information shows a relationship between the amount spent perweek on advertising by a small fast-food shop and the total sales per week: Use this information to make a line graph and then predict the weekly sales associated …
  4. MAT115

    The following information shows a relationship between the amount spent per week on advertising by a small fast-food shop and the total sales per week. Use it to answer question 5. Amount spent 10 20 30 40 Sales 200 380 625 790 Predict …
  5. Stats

    Observations are taken on sales of a certain mountain bike in 30 sporting goods stores. The regression model was Y = total sales (thousands of dollars), X1 = display floor space (square meters), X2 = competitors’ advertising expenditures …
  6. Calculus

    The relationship between the amount of money x that Cannon Precision Instruments spends on advertising and the company's total sales S(x) is given by the following function where x is measured in thousands of dollars. S(x) = -0.002x3 …
  7. Statistics

    A household appliance manufacturer wants to analyze the relationship between total sales and the company's three primary means of advertising (television, magazines, and radio). All values are in millions of dollars. They found the …
  8. Statistics

    Regression analysis was applied between sales data (in $1,000s) and advertising data (in $100s) and the following information was obtained. ~ y = 12 + 1.8x n = 17 SSR = 225 SSE = 75 sb1 = 0.2683 Refer to Exhibit 12-3. The critical …
  9. math

    a company's monthly sales, in thousands, is given by s(x,y)=9x^.8y^.5. where x is the amount spent on newspaper advertising per month in thousands of dollars and y is the amount spent on radio advertising per month in thousands of …
  10. managerial economics

    A company wants to estimate how effective different types of advertising are for promoting its products. Specifically, the company is interested in estimating the effectiveness of radio advertising and newspaper advertising. A sample …

More Similar Questions