CardioGood Fitness is a developer of high-quality cardiovascular exercise equipment. Its products include treadmills, fitness bikes, elliptical machines, and e-glides.CardioGood Fitness looks to increase the sales of its treadmill products and has hired the AdRight Agency, a small advertising firm, to create and implement an advertising program. The AdRight Agency plans to identify particular market segments that are most likely to buy their client's goods and services and then locate advertising outlets that will reach that market group.This activity includes collecting data on clients' actual sales and on the customers who make the purchases, with the goal of determining whether there is a distinct profile of the typical customer for a particular product or service. If a distinct profile emerges, efforts are made to match that profile to advertising outlets known to reflect the particular profile, thus targeting advertising directly to high-potential customers.

CardioGood Fitness sells three different lines of treadmills. The TM195 is an entry-level treadmill. It is as dependable as other models offered by CardioGood Fitness, but with fewer programs and features. It is suitable for individuals who thrive on minimal programming and the desire for simplicity to initiate their walk or hike. The TM195 sells for $1,500.

The middle-line TM498 adds to the features of the entry-level model two user programs and up to 15% elevation upgrade. The TM498 is suitable for individuals who are walkers at the transitional stage from walking to running or midlevel runners. The RM498 sells for $1,750.

The top-of-the-line TM798 is structurally larger and heavier and has more features than the other models. Its unique features include a bright blue backlit LCD console, quick speed and incline keys, a wireless heart rate monitor with telemetric chest strap, remote speed and incline controls, and an anatomical figure that specifies which muscles are minimally and maximally activated. This model features a nonfolding platform base that is designed to handle rigorous, frequent running; the TM798 is therefore appealing to someone who is a power walker or a runner. The selling price is $2,500.

As a first step, the market research team at AdRight is assigned the task of identifying the profile of the typical customer for each treadmill product offered by CardioGood Fitness. The market research team decides to collect data on individuals who purchased a treadmill at a CardioGood Fitness retail store during the prior three months.

The team decides to use both business transactional data and the results of a personal profile survey that every purchaser completes as their sources of data. The team identifies the following customer variables to collect and use for this study:product purchased - TM195, TM498, or TM798; gender; age, in years; education, in years; relationship status, single or partnered; annual household income in dollars; the number of times the customer plan to use the treadmill each week, the number of miles the customer expects to walk/run each week; and self-rated fitness value on a 1 to 5 scale, where 1 is poor shape and 5 is excellent shape.

With this background information in mind, senior management at CardioGood Fitness has asked the AdRight Agency to answer the following questions explain in a short report:

Research Question 1: Using the One-Way ANOVA method, determine if there is a significant difference in average customer income between any of three product lines (i.e., TM195, TM498, or TM798) using Alpha = 0.05 level of significance. Hint: Dependent variable is "Income", and the grouping variable is "Product". If a significant difference exists, please use 95% confidence intervals or the Tukey test to determine any group differences. Identify if any of the product line customers have significantly higher or lower income compared to the other groups.

Research Question 2: Utilizing the simple linear regression method, is there a significant relationship between the Education level of the customer and the Income of the customer? Please use Alpha = 0.05 for determining any significant relationships. Please show the regression equation. Also, please use the regression equation to estimate the income for a customer who has 17 years of education. Finally, how much variation in "Income" is explained by "Education"?Hint: the dependent variable is "Income" and the independent variable is "Education". Also, please note that the "Education" variable is in 'years of education'. For example, someone with 12 years is a high school graduate, someone with 16 years has a bachelor's degree, and anyone with more than 16 years is working or completed with a graduate degree, etc.