The following is part of the results of a regression analysis involving sales Y in millions of dollars), advertising expenditures X1 in thousands of dollars), and number of salespeople X2) for a corporation. The regression was performed on a sample of 10 observations.
$\begin{array}{lr}
&\text { Coefilicient }&\text { Standard Error }\
\text { Constant } & -11.340&20.412 \
\mathrm{X}_{1} & 0.798 &0.332\
\mathrm{X}_{2} & 0.141&0.278
\end{array}$
a. Write the regression equation.
b. Interpret the coefficients of the estimated regression equation found in Part a).
c. At α =0.05, test for the significance of the coefficient of advertising.
d. At α =0.05, test for the significance of the coefficient of number of salespeople.
e. If the company uses $50,000 in advertisement and has 800 salespersons, what are the expected sales? Give your answer in dollars.

Question

The following is part of the results of a regression analysis involving sales Y in millions of dollars), advertising expenditures X1 in thousands of dollars), and number of salespeople X2) for a corporation. The regression was performed on a sample of 10 observations.
 $\begin{array}{lr}
&\text { Coefilicient }&\text { Standard Error }\
\text { Constant } & -11.340&20.412 \
\mathrm{X}_{1} & 0.798 &0.332\
\mathrm{X}_{2} & 0.141&0.278
\end{array}$ 
a. Write the regression equation.
b. Interpret the coefficients of the estimated regression equation found in Part a).
c. At α =0.05, test for the significance of the coefficient of advertising.
d. At α =0.05, test for the significance of the coefficient of number of salespeople.
e. If the company uses $50,000 in advertisement and has 800 salespersons, what are the expected sales? Give your answer in dollars.

Quizplus · Accepted Answer

The Answer of The following is part of the results of a regression analysis involving sales Y in millions of dollars), advertising expenditures X1 in thousands of dollars), and number of salespeople X2) for a corporation. The regression was performed on a sample of 10 observations.
 $\begin{array}{lr}
&\text { Coefilicient }&\text { Standard Error }\
\text { Constant } & -11.340&20.412 \
\mathrm{X}_{1} & 0.798 &0.332\
\mathrm{X}_{2} & 0.141&0.278
\end{array}$ 
a. Write the regression equation.
b. Interpret the coefficients of the estimated regression equation found in Part a).
c. At α =0.05, test for the significance of the coefficient of advertising.
d. At α =0.05, test for the significance of the coefficient of number of salespeople.
e. If the company uses $50,000 in advertisement and has 800 salespersons, what are the expected sales? Give your answer in dollars.

The Following Is Part of the Results of a Regression