Data on advertising expenditures and revenue (in thousands of dollars) for the Four Seasons Restaurant follow. Advertising Expenditures Revenue 1 19 2 32 4 44 6 4D 10 52 14 53 20 54 a. Let :1: equal advertising expenditures and y equal revenue. Use the method of least squares to develop a straight line approximation of the relationship between the two variables (to 2 decimals). f) = 29.40 + 1.55 a; b. Test whether revenue and advertising expenditures are related at a 0.05 level of significance. Compute the following (to 2 decimals). approximation of the relationship between two variables decimals ) . y 29.40 + 1.55 b. Test whether revenue and advertising expenditures are related at a 0.05 level of significance. Compute the following (to 2 decimals). SSE SST SSR MSR MSE Compute the F test statistic (to 2 decimals). 11.15 What is the p-value? Use Table 4 of Appendix B. between 0.01 and 0.025 v What is your conclusion?Residuals -5 -0 A. 1-5 -10 30 35 40 45 50 55 Predicted Values Residuals -5 -0 B. -5\fResiduals I I 5 . I 0 I D. -5 I -10 I 30 35 4o 45 so 55 Pmdictadvhiues - Select your answer - v d. What conclusion can you draw from residual analysis? The residual plot us to question the assumption of a linear relationship between a; and y. Should this model be used, or should we look for a better one? This model should be used. v Check My Work