Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The price of the Spirit of the Devil brand beer fluctuates from month to month due to the change in raw material prices and other

The price of the "Spirit of the Devil" brand beer fluctuates from month to month due to the change in raw material prices and other factors. The company that sells this beer also advertises several times a month.The company wishes to investigate the impact of price and advertising on beer sales and collects monthly sales data (in thousands of dollars), number of advertisements per month and the average monthly price of beer (in dollars). The company suspects that higher prices lead to lower sales and more advertising leads to greater sales. In addition, the company also expects that the negative impact of prices on sales is affected by the level of advertising such that higher levels of advertising may lower the negative effect of price.Express the regression model that the company must estimate to test their intuition, state the relevant hypothesis, estimate the model and provide interpretation.Given the results of your estimation, predict the beer sales when the company spends on 12 advertisements and prices the beer at $1.25. The data is in spirit.sav .

I am working through this question and having trouble getting the coefficients table to work.

I need to use either SPSS software or Excel. The first column is Sales, the 2nd column is Price and the 3rd is Ads.

159.14 .80 13

33.08 .75 3

156.04 .90 13

93.86 1.00 8

27.02 1.10 3

130.69 1.00 11

104.17 1.20 9

117.84 1.25 10

32.88 .90 3

145.77 1.50 12

91.65 1.00 8

94.03 1.25 8

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Practical Linear Algebra A Geometry Toolbox

Authors: Gerald Farin, Dianne Hansford

4th Edition

1003051219, 9781003051213

More Books

Students also viewed these Mathematics questions

Question

What do you understand by gestures? Section B

Answered: 1 week ago

Question

4. Devise an interview strategy from the interviewers point of view

Answered: 1 week ago