The following estimated regression equation has been proposed to predict sales at a fast food outlet.
where
the number of competitors within 1 mile
the population within 1 mile (in
if drive-up windows are present; 0 otherwise
estimated sales in
a.
What is the interpretation of 15 (the coefficient of x3) in the regression equation?
b.
Predict sales for an outlet with 2 competitors, a population of 10,000 within one mile, and one drive-up window (give the answer in dollars).
c.
Predict sales for an outlet with 2 competitors, a population of 10,000 within one mile, and no drive-up window (give the answer in dollars).
Correct Answer:
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a.
Sales of outlets with dri...
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