Exhibit 16.2.Typically,the sales volume declines with an increase of a product price.It has been observed,however,that for some luxury goods the sales volume may increase when the price increases.The following Excel output illustrates this rather unusual relationship. Refer to Exhibit 16.2.Using the cubic regression equation,predict the sales if the luxury good is priced at $100.
A)1171.85
B)1133.10
C)1106.61
D)1092.91

Question

Exhibit 16.2.Typically,the sales volume declines with an increase of a product price.It has been observed,however,that for some luxury goods the sales volume may increase when the price increases.The following Excel output illustrates this rather unusual relationship.  Refer to Exhibit 16.2.Using the cubic regression equation,predict the sales if the luxury good is priced at $100.
A)1171.85 
B)1133.10 
C)1106.61 
D)1092.91

Quizplus · Accepted Answer

The Answer of Exhibit 16.2.Typically,the sales volume declines with an increase of a product price.It has been observed,however,that for some luxury goods the sales volume may increase when the price increases.The following Excel output illustrates this rather unusual relationship.  Refer to Exhibit 16.2.Using the cubic regression equation,predict the sales if the luxury good is priced at $100.
A)1171.85 
B)1133.10 
C)1106.61 
D)1092.91