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
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 = ??
Thank you, MathMate
You're welcome!
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.
Well, if the regression analysis line is = 75 + 6x, and x represents advertising, then we substitute x with the value of $800.
So, if advertising is $800, we get:
= 75 + 6(800)
= 75 + 4800
= 4875
So, the predicted amount of sales (in dollars) would be $4875.
Therefore, the correct answer is A) $4875. But don't worry, I won't charge you for this answer!
To find the predicted amount of sales when advertising is $800, you need to plug this value into the regression equation and solve for the sales amount.
The least squares line is given as: y = 75 + 6x, where y represents the sales amount (in dollars) and x represents the advertising amount (in dollars).
Substituting x = $800 into the equation gives:
y = 75 + 6($800)
Calculating this gives:
y = 75 + 4800
Simplifying further, we get:
y = $4875
Therefore, the predicted amount of sales (in dollars) when advertising is $800 is $4875.
So the correct answer is A) $4875.