Attempting to analyze the relationship between advertising and sales, the owner of a furniture store recorded the monthly advertising budget ($ thousands) and the sales ($ millions) for a sample of 12 months. The data are listed here.

a. Draw a scatter diagram. Does it appear that advertising and sales are linearly related?
b. Calculate the least squares line and interpret thecoefficients.

Transcribed Image Text:

Advertising 23 46 60 54 28 33 Sales 9.6 11.3 12.8 9.8 8.9 12.5 Advertising 25 31 36 88 90 99 Sales 12.0 11.4 12.6 13.7 14.4 15.9