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L2. The following simple bivariate linear regression model was estimated explaining a firm's sales revenue (SR) to the income of its customer's (INC) using annual
L2. The following simple bivariate linear regression model was estimated explaining a firm's sales revenue (SR) to the income of its customer's (INC) using annual data over a nine-year period:
SR = 81.38 + .23(INC),
(0.018)
where the standard error of the slope estimate is reported in parentheses below the coefficient estimate.
A) (3 Points) Find an approximate 95 percent prediction interval for sales at income level $4,200, given that the standard error of the regression was 63.67.
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