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2. A candy bar manufacturer is interested in trying to estimate how sales are influenced by the price of their product. To do this, the company randomly chooses 6 small cities and offers the candy bar at different prices. Using candy bar sales as the dependent variable, the company will conduct a simple linear regression on the data below: [15 points) City Price (5) Sales River Falls 1,30 90 Hudson 1.60 80 Ellsworth 1.80 70 Prescott 2.00 30 Rock Elm 2.40 28 Stillwater 2.90 22 (a) Set up a scatter diagram. (b) Assuming a linear relationship, use the least-squares method. This means to apply the formulas for bo and bl to find the regression coefficients bo and b1. Write the predicted equation for this problem. (e) Interpret the meaning of the y-intercept bo and slope bl by relating the interpretation to Price and Sales. (d) Predict the sales when the prices are $1.50 and $2.70, and $3.50