All Greens Franchise

The data (X1, X2, X3, X4, X5, X6) are for each franchise store.

X1 = annual net sales/$1000

X2 = area of store in sq. ft./1000

X3 = inventory/$1000

X4 = amount spent on advertising/$1000

X5 = size of sales district/1000 families

X6 = number of competing stores in district

X1	X2	X3	X4	X5	X6
231	3	294	8.2	8.2	11
156	2.2	232	6.9	4.1	12
10	0.5	149	3	4.3	15
519	5.5	600	12	16.1	1
437	4.4	567	10.6	14.1	5
487	4.8	571	11.8	12.7	4
299	3.1	512	8.1	10.1	10
195	2.5	347	7.7	8.4	12
20	1.2	212	3.3	2.1	15
68	0.6	102	4.9	4.7	8
570	5.4	788	17.4	12.3	1
428	4.2	577	10.5	14	7
464	4.7	535	11.3	15	3
15	0.6	163	2.5	2.5	14
65	1.2	168	4.7	3.3	11
98	1.6	151	4.6	2.7	10
398	4.3	342	5.5	16	4
161	2.6	196	7.2	6.3	13
397	3.8	453	10.4	13.9	7
497	5.3	518	11.5	16.3	1
528	5.6	615	12.3	16	0
99	0.8	278	2.8	6.5	14
0.5	1.1	142	3.1	1.6	12
347	3.6	461	9.6	11.3	6
341	3.5	382	9.8	11.5	5
507	5.1	590	12	15.7	0
400	8.6	517	7	12	8

Perform the following:

1. Determine which variables are correlated.

2. Setting Annual net sales as dependent variable and area of store in sq. ft. as independent variable, perform simple linear regression.

INTERPRET THE RESULTS.

3. Setting Annual net sales as dependent variable and inventory as independent variable, perform simple linear regression.

INTERPRET THE RESULTS.

4. Setting Annual net sales as dependent variable and amount spent on advertising as independent variable, perform simple linear regression.

INTERPRET THE RESULTS.

5. Setting Annual net sales as dependent variable and size of sales district independent variable, perform simple linear regression.

INTERPRET THE RESULTS.

6. Setting Annual net sales as dependent variable and number of competing stores in district as independent variable, perform simple linear regression.

INTERPRET THE RESULTS.