Dixie Showtime Movie Theaters, Inc., owns and operates a chain of cinemas in several markets in the southern U.S. The owners would like to estimate weekly gross revenue as a function of advertising expenditures. Data for a sample of eight markets for a recent week follow. Weekly Gross Revenue ($100s) Television Advertising ($100s) Newspaper Advertising ($100s) Market Mobile 102.3 5.0 1.6 Shreveport 51.9 3.0 3.2 Jackson 75.5 4.0 1.5 Birmingham 127.2 4.4 4.0 Little Rock 137.8 3.6 4.3 Biloxi 101.4 3.5 2.3 New Orleans 237.8 5.0 8.4 Baton Rouge 219.6 6.9 5.8 (a) Use the data to develop an estimated regression equation with the amount of television advertising as the independent variable. Let x represent the amount of television advertising. If required, round your answers to three decimal places. For subtractive or negative numbers use a minus sign even if there is a + sign before the blank. (Example: -300) = + Test for a significant relationship between television advertising and weekly gross revenue at the 0.05 level of significance. What is the interpretation of this relationship? There Select your answer - V a significant relationship between the amount spent on television advertising and weekly gross revenue. The estimated regression equation is the best estimate of the Select your answer - v given the Select your answer - (b) How much of the variation in the sample values of weekly gross revenue does the model in part (a) explain? If required, round your answer to two decimal places. % (c) Use the data to develop an estimated regression equation with both television advertising and newspaper advertising as the independent variables. Let X1 represent the amount of television advertising. Let x2 represent the amount of newspaper advertising. If required, round your answers to three decimal places. For subtractive or negative numbers use a minus sign even if there is a + sign before the blank. (Example: -300) + X1 + X2 Test whether each of the regression parameters Bo, B1, and B2 is equal to zero at a 0.05 level of significance. We Select your answer v conclude that Bo = 0. We - Select your answer - V conclude that B1 = 0. We - Select your answer - V conclude that B2 = 0. What are the correct interpretations of the estimated regression parameters? Are these interpretations reasonable? (i) Bo is the estimate of the weekly gross revenue when television and newspaper advertising are both zero. B1 is the estimate of change in the weekly gross revenue if newspaper advertising is held constant and there is a $100 increase in television advertising. B2 is the estimate of change in the weekly gross revenue if television advertising is held constant and there is a $100 increase in newspaper advertising. The interpretation of Bo is not reasonable but the interpretations of B1 and B2 are reasonable. (ii) Bo is the estimate of the weekly gross revenue when television and newspaper advertising are both zero. B1 is the estimate of change in the weekly gross revenue if television advertising is held constant and there is a $100 increase in newspaper advertising. B2 is the estimate of change in the weekly gross revenue if newspaper advertising is held constant and there is a $100 increase in television advertising. The interpretation of Bo is not reasonable but the interpretations of B1 and B2 are reasonable. (iii) Bo is the estimate of change in the weekly gross revenue if newspaper advertising is held constant and there is a $100 increase in television advertising. B1 is the estimate of change in the weekly gross revenue if television advertising is held constant and there is a $100 increase in newspaper advertising. B2 is the estimate of the weekly gross revenue when television and newspaper advertising are both zero. The interpretation of Bo, B1, and B2 are all reasonable. - Select your answer - (d) How much of the variation in the sample values of weekly gross revenue does the model in part (C) explain? If required, round your answer to two decimal places. % Dixie Showtime Movie Theaters, Inc., owns and operates a chain of cinemas in several markets in the southern U.S. The owners would like to estimate weekly gross revenue as a function of advertising expenditures. Data for a sample of eight markets for a recent week follow. Weekly Gross Revenue ($100s) Television Advertising ($100s) Newspaper Advertising ($100s) Market Mobile 102.3 5.0 1.6 Shreveport 51.9 3.0 3.2 Jackson 75.5 4.0 1.5 Birmingham 127.2 4.4 4.0 Little Rock 137.8 3.6 4.3 Biloxi 101.4 3.5 2.3 New Orleans 237.8 5.0 8.4 Baton Rouge 219.6 6.9 5.8 (a) Use the data to develop an estimated regression equation with the amount of television advertising as the independent variable. Let x represent the amount of television advertising. If required, round your answers to three decimal places. For subtractive or negative numbers use a minus sign even if there is a + sign before the blank. (Example: -300) = + Test for a significant relationship between television advertising and weekly gross revenue at the 0.05 level of significance. What is the interpretation of this relationship? There Select your answer - V a significant relationship between the amount spent on television advertising and weekly gross revenue. The estimated regression equation is the best estimate of the Select your answer - v given the Select your answer - (b) How much of the variation in the sample values of weekly gross revenue does the model in part (a) explain? If required, round your answer to two decimal places. % (c) Use the data to develop an estimated regression equation with both television advertising and newspaper advertising as the independent variables. Let X1 represent the amount of television advertising. Let x2 represent the amount of newspaper advertising. If required, round your answers to three decimal places. For subtractive or negative numbers use a minus sign even if there is a + sign before the blank. (Example: -300) + X1 + X2 Test whether each of the regression parameters Bo, B1, and B2 is equal to zero at a 0.05 level of significance. We Select your answer v conclude that Bo = 0. We - Select your answer - V conclude that B1 = 0. We - Select your answer - V conclude that B2 = 0. What are the correct interpretations of the estimated regression parameters? Are these interpretations reasonable? (i) Bo is the estimate of the weekly gross revenue when television and newspaper advertising are both zero. B1 is the estimate of change in the weekly gross revenue if newspaper advertising is held constant and there is a $100 increase in television advertising. B2 is the estimate of change in the weekly gross revenue if television advertising is held constant and there is a $100 increase in newspaper advertising. The interpretation of Bo is not reasonable but the interpretations of B1 and B2 are reasonable. (ii) Bo is the estimate of the weekly gross revenue when television and newspaper advertising are both zero. B1 is the estimate of change in the weekly gross revenue if television advertising is held constant and there is a $100 increase in newspaper advertising. B2 is the estimate of change in the weekly gross revenue if newspaper advertising is held constant and there is a $100 increase in television advertising. The interpretation of Bo is not reasonable but the interpretations of B1 and B2 are reasonable. (iii) Bo is the estimate of change in the weekly gross revenue if newspaper advertising is held constant and there is a $100 increase in television advertising. B1 is the estimate of change in the weekly gross revenue if television advertising is held constant and there is a $100 increase in newspaper advertising. B2 is the estimate of the weekly gross revenue when television and newspaper advertising are both zero. The interpretation of Bo, B1, and B2 are all reasonable. - Select your answer - (d) How much of the variation in the sample values of weekly gross revenue does the model in part (C) explain? If required, round your answer to two decimal places. %