3.You work for The Bee Sneeze, a company that produces organic, free range, gluten-free honey ("Our Bee Nose What's Good!"). You've collected data on monthly sales (S, number of jars of honey sold per month) the price of your jar of honey (P, in dollars), and the population size in the different cities in which your company has retail locations (N, number of people; you currently only have one establishment in each city). You estimate the following regression model: S = a + bP + cN. In your regressions, you usually look for a 5%-or-better level of confidence.

a.What signs do you expect for a, b, and c?

b.Your regression yields the following results:

Adjusted R Square 0.619 Independent Variables Coefficients Standard Error t Stat P-value Intercept 10313 2967 3.475 0.01775 P -379.67 131.77 -2.881 0.03453 N 0.0018 0.0060 0.307 0.77093