Go to the library and locate an article in a journal related to your major (Journal of Marketing, Journal of Finance, etc.) that uses linear regression. Discuss the following:

a. How the author chose the dependent and independent variables

b. How the data were gathered

c. What statistical tests the author used

d. What conclusions the analysis allowed the author to draw

==Business Applications 14-57. The Olson Brothers Organic Milk Company recently studied a random sample of 30 of its distributors and found the correlation between sales and advertising dollars to be 0.67.

a. Is there a significant linear relationship between sales and advertising? If so, is it fair to conclude that advertising causes sales to increase?

b. If a regression model were developed using sales as the dependent variable and advertising as the independent variable, determine the proportion of the variation in sales that would be explained by its relationship to advertising. Discuss what this says about the usefulness of using advertising to predict sales.