Your company asked you to analyze the investment of their advertising campaign. You create a scatterplot graph of the advertising dollar spent on advertising,x, and compare it to the revenue generated,y, for January to December of the campaign. You find the equation of the trend line to be y=2.53x+43. Predict the revenue if your company invests $200.000 in advertising. Write the revenue in dollars and cent.
To predict the revenue if the company invests $200,000 in advertising, we can substitute the value of x=200,000 into the equation of the trend line.
y = 2.53x + 43
y = 2.53(200,000) + 43
y = 506,000 + 43
y = 506,043
Hence, the predicted revenue if the company invests $200,000 in advertising is $506,043.