Consider the below data which is based on a company's sales in the period 2000 to 2011 along with the national income of the country, where the business is set up.
a. Develop a scatter chart for these data, treating the national income as the independent variable. Does a simple linear regression model appear to be appropriate?
b. Develop an appropriate estimated regression equation to predict the company's sales, given the national income. How much variation in the sample values of company's sales is explained by this regression model

Question

Consider the below data which is based on a company's sales in the period 2000 to 2011 along with the national income of the country, where the business is set up.
  a. Develop a scatter chart for these data, treating the national income as the independent variable. Does a simple linear regression model appear to be appropriate?
b. Develop an appropriate estimated regression equation to predict the company's sales, given the national income. How much variation in the sample values of company's sales is explained by this regression model

Quizplus · Accepted Answer

The Answer of Consider the below data which is based on a company's sales in the period 2000 to 2011 along with the national income of the country, where the business is set up.
  a. Develop a scatter chart for these data, treating the national income as the independent variable. Does a simple linear regression model appear to be appropriate?
b. Develop an appropriate estimated regression equation to predict the company's sales, given the national income. How much variation in the sample values of company's sales is explained by this regression model

Consider the Below Data Which Is Based on a Company's