2. A fast food chain would like to see if there is any connection between the number of customers served (X1) in millions of individuals, the amount of advertising (X2) in millions of dollars and profits (Y) in millions of dollars. Run a multiple regression analysis based on the following figures:

X1 X2 Y

87.3 105.11 5.21

93.75 110.32 5.63

98.41 118.94 6.24

106.53 122.43 6.89

117.39 127.15 7.48

130.82 136.24 9.52

141.51 149.47 13.26

153.16 163.51 12.73

170.04 171.82 15.57

190.12 182.94 18.72

a. Derive the equation for the least squares regression line which will best fit the data

b. Do signs of the slope coefficient make economic sense? Interpret their meaning.

c. Determine the coefficient of correlation, coefficient of determination and Adjusted r2.

What do these coefficients tell you?

HAS TO BE DONE IN EXCEL. THANK YOU.