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You have been given a sample data set related to sales revenue and advertising expenditure in Dian packaging (Note: Data set is same as in
You have been given a sample data set related to sales revenue and advertising expenditure in Dian packaging (Note: Data set is same as in Q2).
Sales Revenue ($ 000) | Advertising expenditure ($ 000) |
35 | 7 |
37 | 8 |
45 | 10 |
47 | 12 |
51 | 12 |
55 | 11 |
60 | 15 |
72 | 16 |
75 | 18 |
74 | 20 |
Use the above data to answer the questions given below;
*Derive a simple regression equation to show the impact of advertising expenditure on company sales revenue (round off the coefficient value to 2 decimals).
*Interpret the intercept and slope coefficients in your regression equation.
*Predict the sales revenue if company increase their adverting expenditure up to $ 28,000.
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