Reconsider the previous six exercises and the Legos data file. This is very unrealistic, but suppose that

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Reconsider the previous six exercises and the Legos data file. This is very unrealistic, but suppose that one of the products were to be offered at a price of $0.
a. Would you expect this change to affect the least squares line very much? Explain.
b. For which one product would you expect this change to have the greatest impact on the least squares line? Explain how you choose this product.
c. Change the price to $0 for the product that you identified in part (b). Report the (new) equation of the least squares line and the (new) value of r2. Have these values changed considerably?

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Introduction To Statistical Investigations

ISBN: 9781118172148

1st Edition

Authors: Beth L.Chance, George W.Cobb, Allan J.Rossman Nathan Tintle, Todd Swanson Soma Roy

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