A regression model relating units sold (y), price (x₁), and whether or not promotion for sales was used (x₂ = 1 if promotion was used and 0 if not) resulted in the following estimated equation. $\hat { y }$ = 120 - .03x₁ + .7x₂
and the following information is also provided. $n = 15 \quad s b _ { 1 } = .01 \quad s b _ { 2 } = .10$
a.
Is price a significant variable? Let α = .05.
b.
Is promotion significant? Let α = .05.

Question

A regression model relating units sold (y), price (x₁), and whether or not promotion for sales was used (x₂ = 1 if promotion was used and 0 if not) resulted in the following estimated equation.

\hat { y }

= 120 - .03x₁ + .7x₂
and the following information is also provided.

n = 15 \quad s b _ { 1 } = .01 \quad s b _ { 2 } = .10

a.
Is price a significant variable? Let α = .05.
b.
Is promotion significant? Let α = .05.

Quizplus · Accepted Answer

The Answer of A regression model relating units sold (y), price (x₁), and whether or not promotion for sales was used (x₂ = 1 if promotion was used and 0 if not) resulted in the following estimated equation. $\hat { y }$ = 120 - .03x₁ + .7x₂ and the following information is also provided. $n = 15 \quad s b _ { 1 } = .01 \quad s b _ { 2 } = .10$ a. Is price a significant variable? Let α = .05. b. Is promotion significant? Let α = .05.

A Regression Model Relating Units Sold (Y), Price (X1), and Whether

A Regression Model Relating Units Sold (Y), Price (X₁), and Whether