Mathematics, 28.12.2019 05:31 malikvanison
Acorporation owns several companies. the strategic planner for the corporation believes dollars spent on advertising to some extent can be a predictor of total sales dollars. as an aid to long-term planning she gathers the following advertising and sales information from several of the companies for 2011 ($ millions). advertising sales 12.5 148 3.7 55 21.6 338 60.0 994 37.6 541 6.1 89 16.8 126 41.2 379
a. how are these two variables correlated?
b. what percent of variability in sales is explained by advertising?
c. what is the simple regression equation you would use to predict sales from advertising? y=
d. for each million dollar increase in advertising, how much does sales increase?
e. if a company allocated 46.8 million dollars to advertising, what would its predicted sales be?
f. how reliable is advertising dollars in predicting sales? explain
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