Cincinnati Paint Company sells quality brands of paints through hardware stores throughout the United States. The company maintains a large sales force whose job it is to call on existing customers as well as look for new business. The national sales manager is investigating the relationship between the number of sales calls made and the miles driven by the sales representative. Also, do the sales representatives who drive the most miles and make the most calls necessarily earn the most in sales commissions? To investigate, the vice president of sales selected a sample of 25 sales representatives and determined:
• The amount earned in commissions last month ( y)
• The number of miles driven last month (x1)
• The number of sales calls made last month (x2)
The information is reported below.

Develop a regression equation including an interaction term. Is there a significant interaction between the number of sales calls and the milesdriven?

  • CreatedDecember 10, 2014
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