Simmons owns and operates a national chain of department stores. Simmons wants to send an expensive...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Simmons owns and operates a national chain of department stores. Simmons wants to send an expensive sales catalog with a "30% off" coupon only to those customers who have a sufficiently high probability of using the coupon. Management thinks that the decision should depend on x1-annual spending at 1 if the customer has a Simmons credit card Simmons ($1000) and ₂ 0 otherwise Assuming y = In P 1 if the customer uses the coupon otherwise was obtained: Coefficients Predictor Intercept x1 Estimate -2.10 0.38 1.12 and, p-P(y-1), the logistic regression was run in Data Mining and the following output for the logit, What is the predicted probability of using the coupon by a customer who spends $3100 annually and has a Simmons credit card? Simmons owns and operates a national chain of department stores. Simmons wants to send an expensive sales catalog with a "30% off" coupon only to those customers who have a sufficiently high probability of using the coupon. Management thinks that the decision should depend on x1-annual spending at 1 if the customer has a Simmons credit card Simmons ($1000) and ₂ 0 otherwise Assuming y = In P 1 if the customer uses the coupon otherwise was obtained: Coefficients Predictor Intercept x1 Estimate -2.10 0.38 1.12 and, p-P(y-1), the logistic regression was run in Data Mining and the following output for the logit, What is the predicted probability of using the coupon by a customer who spends $3100 annually and has a Simmons credit card?
Expert Answer:
Answer rating: 100% (QA)
To calculate the predicted probability of a customer using the coupon we can use the logistic re... View the full answer
Related Book For
Essentials of Business Analytics
ISBN: 978-1305627734
2nd edition
Authors: Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Posted Date:
Students also viewed these finance questions
-
Salmons Stores operates a national chain of women's apparel stores. Five thousand copies of an expensive four-color sales catalog have been printed, and each catalog includes a coupon that provides a...
-
In each of the following situations, indicate whether you would expect the business to use a periodic inventory system or a perpetual inventory system. Explain the reasons for your answer. a. The...
-
Jensen Company has the following information for the pay period of January 15 - 31, 20xx. Gross payroll $10,000 Federal income tax withheld $1,500 Social security rate 6% Federal unemployment tax...
-
Describe one possible danger of accessing the Internet over a wireless connection, such as WiFi or 3G. How can this danger be reduced?
-
What is the result of applying Prims algorithm to a graph that is not connected?
-
Refer to your answers in E4-28A. In addition to the manufacturing overhead costs, the following data are budgeted for the companys Standard and Deluxe models for next year: Requirements: 1. Compute...
-
The following information is available for Reinsch Corporation for the year ended December 31, 2014: cost of goods sold $205,000, sales revenue $350,000, other revenues and gains $50,000 and...
-
25 25 A piece of wire of resistance R is cut into three equal parts. These parts are then connected in parallel. If the equivalent resistance of this parallel combination is R, what is the value of...
-
Amazon Wood Products, Inc. is a manufacturer of fine quality tables, chairs, and desks. The following information relates to expected production, sales, and other costs for next year (ended December...
-
Prepare a process diagram and document flowchart for the following Hiring Process: (you can draw the charts and upload a picture of the diagrams or scan them!) The department that develops a vacancy...
-
In January 2022, several business opportunities are discussed at Fripozo. Vicente would like to have an accurate picture of such transactions, so that he can foresee the improvement in KPIs for 2022...
-
Based on the commentary, readings, and your professional experience: Identify at least three examples of decisions that an HR professional should make which will likely harm a company's bottom line...
-
After auditing Jayne Morgan's 2021 Form 1040, the IRS assessed a $19,900 deficiency of income tax. Jayne's return reported $218,000 tax. The correct 2021 income tax was $237,900 ($19,900 deficiency...
-
7. A few of the attribute pieces have been placed in the loops in the diagram below. What are the labels for the loops? How do you know? GMADEMO LRR LBT LBS SGT SGC SBC) SRS
-
Describe how to record checks on the suitability of the following plant, equipment or machinery: static mobile accessories consumables health and safety equipment specialised hand tools ...
-
Dwayne Wales contributed equipment, inventory, and $106.000 cash to a partnership. The equipment had a book value of $50,000 and a market value of $56,000. The inventory had a book value of $100,000...
-
To help you become familiar with the accounting standards, this case is designed to take you to the FASBs Web site and have you access various publications. Access the FASBs Web site at...
-
Galaxy Co. distributes wireless routers to Internet service providers. Galaxy procures each router for $75 from its supplier and sells each router for $125. Monthly demand for the router is a normal...
-
Using simulation software such as Analytic Solver Platform, develop a simulation model for the Sanotronics problem that was presented in Section 14.2 using native Excel functionality. a. Obtain...
-
The Siler Construction Company is about to bid on a new industrial construction project. To formulate their bid, the company needs to estimate the time required for the project. Based on past...
-
A factory worker pulls on a rope attached to a pallet loaded with a crate, dragging the combination at constant speed across a rough factory floor. The tension in the rope acts horizontally on the...
-
A resort uses a rope to pull a \(55-\mathrm{kg}\) skier up a \(15^{\square}\) slope at constant speed for \(100 \mathrm{~m}\). (a) Determine the tension in the rope if the snow is slick enough to...
-
A worker places a circular saw on top of a long board that is lying on the floor. Then she and a coworker lift the ends of the board and carry it across the construction site, placing it across two...
Study smarter with the SolutionInn App