2.5

Management proposed the following regression model to predict sales at a fast-food outlet. y = 30 + 31x1 + zxz + ax3 + e where number of competitors within one mile X2 = population within one mile (1,0005) ,_. II x = 1 ifdrive-up window present 3 0 otherwise y = sales ($1,0005). The following estimated regression equation was developed after 20 outlets were surveyed. y = 10.9 4.2x1 + (5.8x2 + 15.7X3 (a) What is the expected amount of sales (in dollars) attributable to the drive-up window? $:l (b) Predict sales (in dollars) for a store with three competitors within one mile, a population of 8,000 within one mile, and no drive-up window. $:l (c) Predict sales (in dollars) for a store with one competitor within one mile, a population of 3,000 within one mile, and a drive-up window. $:l