The following table shows the annual revenues (in millions of dollars)of a pharmaceutical company over the period 1990-2011. The Excel scatterplot shown indicates that the annual revenues have an increasing trend.Therefore,linear,exponential,quadratic,and cubic models were used to fit the trend,and the following relevant information became available after applying linear regression. Using the linear trend equation,one can say that the predicted revenue increases by ____________.
A) $642,792,000 a year
B) $604,930,000 a year
C) $60,493,000 a year
D) $6,049,300 a year

Question

The following table shows the annual revenues (in millions of dollars)of a pharmaceutical company over the period 1990-2011.   The Excel scatterplot shown indicates that the annual revenues have an increasing trend.Therefore,linear,exponential,quadratic,and cubic models were used to fit the trend,and the following relevant information became available after applying linear regression.  Using the linear trend equation,one can say that the predicted revenue increases by ____________.
A) $642,792,000 a year 
B) $604,930,000 a year 
C) $60,493,000 a year 
D) $6,049,300 a year

Quizplus · Accepted Answer

The coefficient of the linear term in the trend equation is 60.493, indicating that the predicted revenue increases by $60,493,000 per year.

The Following Table Shows the Annual Revenues (In Millions of Dollars)of