A national chain of consumer electronics stores had the business objective of determining the effectiveness of newspaper
Question:
a. Construct a scatter plot for newspaper advertising and sales.
b. Fit a quadratic regression model and state the quadratic regression equation.
c. Predict the monthly sales for a city with newspaper advertising of $20,000.
d. Perform a residual analysis on the results and determine whether the regression assumptions are valid.
e. At the 0.05 level of significance, is there a significant quadratic relationship between monthly sales and newspaper advertising?
f. At the 0.05 level of significance, determine whether the quadratic model is a better fit than the linear model.
g. Interpret the meaning of the coefficient of multiple determination.
h. Compute the adjusted r2.
Step by Step Answer:
Basic Business Statistics Concepts And Applications
ISBN: 9780132168380
12th Edition
Authors: Mark L. Berenson, David M. Levine, Timothy C. Krehbiel