Question
SCENARIO 13-2 A candy bar manufacturer is interested in trying to estimate how sales are influenced by the price of their product. To do this,
SCENARIO 13-2
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:
CityPrice ($)Sales
River Falls 1.30 100
Hudson 1.60 90
Ellsworth 1.80 90
Prescott 2.00 40
Rock Elm 2.40 38
Stillwater 2.90 32
Referring to Scenario 13-2, to test that the regression coefficient, 1, is not equal to 0, what would be the critical values? Use = 0.05.
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