Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Caf Michigan's manager, Gary Stark, suspects that demand for mocha latte coffees depends on the price being charged. Based on historical observations, Gary has gathered
Caf Michigan's manager, Gary Stark, suspects that demand for mocha latte coffees depends on the price being charged. Based on historical observations, Gary has gathered the following data, which show the numbers of these coffees sold over six different price values:
Price | Number Sold |
$2.60 | 770 |
$3.40 | 505 |
$2.00 | 980 |
$4.30 | 250 |
$3.00 | 315 |
$4.05 | 475 |
Using simple linear regression and given that the price per cup is $1.85, the forecasted demand for mocha latte coffees will be ___cups (enter your response rounded to one decimal place).
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started