Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Use the following for questions 5 - 6: A random sample of 40 companies on the Forbes 500 list was selected and the relationship between

image text in transcribed
image text in transcribed
Use the following for questions 5 - 6: A random sample of 40 companies on the Forbes 500 list was selected and the relationship between sales (in hundreds of thousands of dollars) and profits (in hundreds of thousands of dollars) was investigated using regression. A least-squares regression line was fitted to the data using statistical software, with sales as the explanatory variable and profits as the response variable. Here is the output from the software: Dependent variable is Profits R-squared - 66.2% 8 - 466.2 with 40 - 2 - 38 degrees of freedom Variable Coefficient s.e. of Coefficient P-value Constant -176 . 644 61.16 0. 0050 Sales 0. 092498 0. 0106 50. 0001 5. Which of the following is an appropriate interpretation of the number 0.092498? (a) An increase in profits of $100,000 increases predicted sales by $9,249.80. (b) An increase in sales of $100,000 increases predicted profits by $9,249.80. (c) Sales of $100,000 correspond to predicted profits of $9,249.80. (d) The ratio of predicted profit to observed profit is, on average, 0.092498. (e) The ratio of predicted profits to observed sales is, on average, 0.092498

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

College Geometry Using The Geometer's Sketchpad

Authors: Barbara E Reynolds, William E Fenton

1st Edition

1118213408, 9781118213407

More Books

Students also viewed these Mathematics questions

Question

What is job enlargement ?

Answered: 1 week ago

Question

what is the most common cause of preterm birth in twin pregnancies?

Answered: 1 week ago

Question

Which diagnostic test is most commonly used to confirm PROM?

Answered: 1 week ago

Question

What is the hallmark clinical feature of a molar pregnancy?

Answered: 1 week ago

Question

2. Develop a good and lasting relationship

Answered: 1 week ago

Question

1. Avoid conflicts in the relationship

Answered: 1 week ago