Assume Demand equation of a product as Q = 70 -10 P + 4Pr + 50 I

Where

Q = Quantity of the product demanded, P = Price of the product (in $),

Pr = Price of the related product (in $) and I = Per capita income (in '000)

a.State the key steps for analyzing the above demand equation and calculate the regression results.

b.What are the implications of the above regression analysis for management decisions?