Question
York and York (Y&Y) Candy bar Manufacturer is interested in trying to estimate how sales are influenced by the price of their product. To do
York and York (Y&Y) 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 12 cities and offers the candy bar at different prices. Using candy bar sales as the dependent variable, the company will conduct a simple regression on the data below:
City- Price /Sales
Algoma- 1.30 /100
Barrie -1.60 /90
Brampton -1.80/ 85
Carleton- 2.00/ 50
Dalton- 2.40/ 38
Flora- 2.70/ 28
Fairfield- 1.25/ 110
Gaspe- 1.50/ 96
Hamilton- 1.85/ 82
Keswick- 2.05/ 47
La Tuque- 2.45/ 35
Oakville- 2.80/ 22
a. What is the response variable?
b. Compute the coefficient of correlation. Interpret the value.
c. Compute the coefficient of determination. Interpret the value.
d. Construct the equation of least square regression line.
e. Estimate the candy bar sales if the price is $2.20. Evaluate the estimation
f. Estimate the candy bar sales if the price is $0.80. Evaluate the estimation
g. The actual candy bar sales is53 when the price is $2.20. Calculate the residual.
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Elementary Statisitcs
Authors: Barry Monk
2nd edition
1259345297, 978-0077836351, 77836359, 978-1259295911, 1259295915, 978-1259292484, 1259292487, 978-1259345296
