For each week of 2020, a liquor wholesaler records the number of cases sold of a...
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For each week of 2020, a liquor wholesaler records the number of cases sold of a popular microbrew that has just gone into mass production and the average price of a case for that week. Using Excel, they fit the simple regression model: Cases Sold vs. Price (S). Because the normal linear model conditions are not satisfied for this model, they consider logarithmic transformation of the variables. The model: LnCasesSold vs. LnPrice satisfies the normal linear model conditions. (Note: Ln stands for the natural logarithm; that is, the logarithm with base e.) The Excel output is shown below. Use it to answer questions 16-18. SUMMARY OUTPUT Regression Statistics Multiple R 0.942418 R Square 0.888152 Adjusted R 0.885915 Standard E 0.355874 Observatic 52 Coefficientsandard Errt Stat P-value Intercept 23.83127 0.945641 25.20118 4.43E-30 LnPrice -6.70521 0.33651 -19.9257 1.95E-25 16. Based on this model, if the weekly average price for a case is $18, the predicted number of cases sold for that week is: A. 19.4 B. 4.5 C. 85.7 For each week of 2020, a liquor wholesaler records the number of cases sold of a popular microbrew that has just gone into mass production and the average price of a case for that week. Using Excel, they fit the simple regression model: Cases Sold vs. Price (S). Because the normal linear model conditions are not satisfied for this model, they consider logarithmic transformation of the variables. The model: LnCasesSold vs. LnPrice satisfies the normal linear model conditions. (Note: Ln stands for the natural logarithm; that is, the logarithm with base e.) The Excel output is shown below. Use it to answer questions 16-18. SUMMARY OUTPUT Regression Statistics Multiple R 0.942418 R Square 0.888152 Adjusted R 0.885915 Standard E 0.355874 Observatic 52 Coefficientsandard Errt Stat P-value Intercept 23.83127 0.945641 25.20118 4.43E-30 LnPrice -6.70521 0.33651 -19.9257 1.95E-25 16. Based on this model, if the weekly average price for a case is $18, the predicted number of cases sold for that week is: A. 19.4 B. 4.5 C. 85.7
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Answer The answer to this question is option c 857 As per the questio... View the full answer
Related Book For
Statistics for Business and Economics
ISBN: 978-0132930192
8th edition
Authors: Paul Newbold, William Carlson, Betty Thorne
Posted Date:
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