3. A fast food restaurant sells hamburger meal packagereferred to as Combo 1" on its menus. The table below shows the quantity of hamburgers (Q_D) sold, the price (P) per unit and the dollar amount spent on newspaper ads (ADV) each week during the first 26 weeks of 2016. (3 pts each)

Weekly Sales Data for Combo 1 Meals

QD	P	ADV
51,345	2.78	4,280
50,337	2.35	3,875
52,000	3.22	12,360
118,117	1.85	19,250
48,024	2.65	6,450
48,500	2.95	8,750
75,751	2.86	9,600
78,797	2.40	9,600
59,856	3.45	9,600
23,696	3.25	6,250
61,385	3.21	4,780
63,750	3.02	6,770
60,996	3.16	6,325
84,276	2.95	9,655
90,000	2.65	10,450
58,131	3.24	9,750
55,398	3.55	11,500
69,943	3.75	8,975
79,785	3.85	8,975
38,892	3.76	6,755
43,240	3.65	5,500
52,078	3.58	4,365
11,321	3.78	9,525
73,113	3.75	18,600
79,988	3.22	14,450
98,311	3.42	15,500

a. Using Excel and the data provided, run a regression to estimate the linear demand function for the restaurants hamburger Combo 1 meals. (2 pts) Q_D = a - bP + cADV

(Copy and paste here your computer printout).

b. Write the equation of the sample regression line (2 pts)

c. Determine whether the parameter estimates have the expected signs? (2 pts)

d. Conduct significance tests of the estimated coefficients as well as evaluation of the overall fit of the regression line. Assume that the owner is comfortable using parameter estimates that are statistically significant at the 5% level or better. (6 pts)

e. Explain How much in the total variation in Q_D is explained by the regression equation? How much of the total variation in Q_D is unexplained by the regression equation? What other explanatory variables might be added to this equation to increase its explanatory power? (2 pts)

f. If P = $4.00 and ADV = $20,000, what is the estimated value of sales (Q_D)?

(2 pts)