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Wendys is offering the new World Cup Fries with tahini sauce as a promotional tie-in for the new season of Ted Lasso on AppleTV, and

Wendys is offering the new World Cup Fries with tahini sauce as a promotional tie-in for the new season of Ted Lasso on AppleTV, and wonders how much they should charge. It test-markets five different prices in the cities listed below, with the listed resultant sales (in thousands of dollars):

City

Sales($000s)

Price($)

Price2

Sales2

Price*Sales

Rochester

75

0.99

0.98

5625.00

74.3

Ottumwa

70

1.29

1.66

4900.00

90.3

Seattle

45

1.49

2.22

2025.00

67.1

Raleigh

33

1.89

3.57

1089.00

62.4

Denair

42

2.19

4.80

1764.00

92.0

sum

265

7.85

13.23

15403.00

386.0

mean

53

1.57

2.65

3080.60

77.2

st.dev.

18.4

0.5

1.53

2037.06

13.4

a. Compute (numerically) and interpret (in words) the correlation between sales and price. Show all work

b. Estimate the regression function between sales and price; show all work

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