Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

a. Determine the sample correlation coefficient, r, between Sales Revenue and Store Count. b. Test the alternative hypothesis that there is a linear relationship between

a. Determine the sample correlation coefficient, r, between Sales Revenue and Store Count.

b. Test the alternative hypothesis that there is a linear relationship between these two variables. What are the test statistic and the p-value for that test statistic? For = .05, what do you conclude about the relationship between the two variables?

c. Now estimate a simple linear regression to predict the Sales Revenue using only Store Count. Write the estimated regression equation. d. How well does the model fit the dependent variable? Cite the appropriate measure from the regression output, and interpret that measure.

Company Name Sales Revenue ($ millions) Store Count Franchisee-Owned Store Count Company-Owned Store Count
mcdonalds 40413 13846 13154 692
starbucks 21550 15041 6768 8273
chick_fil_a 11000 2500 2500 0
taco_bell 11000 7089 6622 467
burger_king 10300 7346 7294 52
subway 10000 23802 23802 0
wendys 9865 5852 5495 357
dunkin 9220 9630 9630 0
dominos 7100 6157 5815 342
panera_bread 5925 2225 1202 1023
chipotle 5520 2580 0 2580
pizza_hut 5380 7416 7393 23
kfc 4820 4065 4009 56
sonic_drive_in 4687 3526 3329 197
arbys 3885 3359 2170 1189
little_caesars 3850 4213 3652 561
panda_express 3800 2184 138 2046
dairy_queen 3760 4381 4379 2
popeyes_chicken 3750 2499 2458 41
jack_in_the_box 3505 2243 2106 137
papa_johns 2655 3142 2544 598
whataburger 2566 830 127 703
jimmy_johns 2105 2787 2735 52
hardees 2070 1830 1713 117
zaxbys 1840 904 755 149
culvers 1730 733 726 6
five_guys 1662 1368 872 496
raising_canes 1466 457 86 371
wingstop 1400 1231 1200 31

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Accounting

Authors: Floyd A. Beams, Joseph H. Anthony, Bruce Bettinghaus, Kenneth Smith

12th edition

133451860, 978-0133451863

More Books

Students also viewed these Accounting questions