Question
Salley Marshal is a manager at the Flinstones, she is checking to see if there is any relationship between promotional costs and ticket revenues at
Salley Marshal is a manager at the Flinstones, she is checking to see if there is any relationship between promotional costs and ticket revenues at the sports stadium. She obtains the following data for the past 9 motnhs.
Month | Ticket Revenues | Promotional Costs |
april | $ 221,000.00 | $ 55,000.00 |
May | $ 290,000.00 | $ 68,000.00 |
June | $ 340,000.00 | $ 83,000.00 |
July | $ 501,000.00 | $ 93,000.00 |
August | $ 450,000.00 | $ 103,000.00 |
September | $ 470,000.00 | $ 113,000.00 |
October | $ 560,000.00 | $ 123,000.00 |
November | $ 691,000.00 | $ 183,000.00 |
December | $ 756,500.00 | $ 200,000.00 |
She estimates the following regression equation:
Ticket Revenues = $39502 + ($3.60 X Promotional Costs)
1) Plot the relationship between promotional costs and ticket revenues. Also draw the regression line and evaluate it using the criteria of economic plausibility, goodness of fit, and slope of the regression line?
Thank you!! Please include all the set up on how to do this on Excel. I am very confused. Please do step by step.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started