Question
A suburban hotel derives its revenue from its hotel and restaurant operations. The owners are interested in the relationship between the number of rooms occupied
A suburban hotel derives its revenue from its hotel and restaurant operations. The owners are interested in the relationship between the number of rooms occupied on a nightly basis and the revenue per day in the restaurant. Following is a sample of 25 days (Monday through Thursday) from last year showing the restaurant income and number of rooms occupied.
Day Revenue Occupied Day Revenue Occupied
1 $1,452 32 14 $1,425 29
2 1,361 30 15 1,445 31
3 1,426 33 16 1,439 33
4 1,470 33 17 1,348 30
5 1,456 33 18 1,450 34
6 1,430 29 19 1,431 30
7 1,354 29 20 1,446 30
8 1,442 30 21 1,485 30
9 1,394 32 22 1,405 32
10 1,459 30 23 1,461 32
11 1,399 33 24 1,490 32
12 1,458 31 25 1,426 33
13 1,537 34
b.Determine the coefficient of correlation between the two variables.(Round your answer to 3 decimal places.)
c-1.State the decision rule for 0.05 significance level:H0: 0;H1:> 0.(Round your answer to 3 decimal places.)
c-2.Compute the value of the test statistic.(Round your answer to 2 decimal places.)
d.What percent of the variation in revenue in the restaurant is accounted for by the number of rooms occupied?(Round your answer to 1 decimal place.)
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