Item 7

2 points

Item 7

Below are percentages for annual sales growth and net sales attributed to loyalty card usage at 74 Noodles & Company restaurants.

Annual Sales Growth (px;) and Loyalty Card Usage (px; of Net Sales) (n = 74 restaurants)
Store	Growth%	Loyalty%	Store	Growth%	Loyalty%
1	-6.6	1.9	38	7.4	1.2
2	-6.2	2.3	39	7.5	1.7
3	-6.1	2.2	40	7.5	2.0
4	-5.9	2.0	41	7.5	1.4
5	-3.8	2.3	42	7.6	1.2
6	-1.9	1.7	43	7.6	1.9
7	-1.9	1.9	44	7.9	1.9
8	-1.8	1.3	45	8.1	1.7
9	-0.9	1.6	46	8.3	2.7
10	-0.5	2.3	47	8.7	0.7
11	0.4	1.9	48	8.9	2.0
12	0.4	1.4	49	8.9	1.3
13	0.6	2.3	50	8.9	2.2
14	0.8	2.2	51	9.2	1.7
15	0.8	2.0	52	10.8	1.8
16	1.0	1.6	53	10.9	1.5
17	1.8	1.3	54	10.9	1.6
18	2.0	2.4	55	11.2	2.5
19	4.0	0.7	56	11.2	2.4
20	4.2	1.4	57	11.4	1.3
21	4.3	2.4	58	11.6	0.6
22	4.3	1.2	59	11.9	2.4
23	4.4	2.5	60	11.9	1.3
24	4.6	2.7	61	13.0	1.5
25	5.0	1.5	62	14.7	1.8
26	5.2	1.7	63	14.8	2.0
27	5.3	1.5	64	15.4	2.4
28	5.7	1.9	65	15.8	1.3
29	5.8	2.5	66	17.6	2.2
30	6.0	1.8	67	17.7	0.5
31	6.4	2.2	68	18.1	1.9
32	6.6	1.5	69	18.3	1.6
33	6.6	2.0	70	18.4	2.2
34	6.7	1.4	71	21.4	1.7
35	6.8	2.0	72	23.8	1.7
36	7.2	2.0	73	24.2	0.6
37	7.3	2.3	74	25.6	2.0

To test the correlation coefficient for significance at = 0.1, fill in the following. (Use the rounded value of the correlation coefficient from part b in all calculations. For final answers, round t_calc to 3 decimal places and the p-value to 4 decimal places. Negative values should be indicated by a minus sign.)