Mid-Valley Travel Agency (MVTA) has offices in 12 cities. The company believes that its monthly airline bookings
Question:
Mid-Valley Travel Agency (MVTA) has offices in 12 cities. The company believes that its monthly airline bookings are related to the mean income in those cities and has collected the following data:
Location | Bookings | Income | Location | Bookings | Income | |
1 | 1,098 | 43,299 | 7 | 855 | 27,482 | |
2 | 1,131 | 45,021 | 8 | 1,054 | 33,025 | |
3 | 1,120 | 40,290 | 9 | 1,081 | 34,687 | |
4 | 1,142 | 41,893 | 10 | 982 | 28,725 | |
5 | 971 | 30,620 | 11 | 1,098 | 37,892 | |
6 | 1,403 | 48,105 | 12 | 1,387 | 46,198 |
a). Develop a linear regression model of monthly airline bookings as a function of income.
b). Use the process described in the chapter to evaluate your results.
c). Make the point and approximate 95 percent confidence interval estimates of monthly airline bookings for another city in which MVTA is considering opening a branch, given that income in that city is $39,020.
Step by Step Answer:
Forecasting And Predictive Analytics With Forecast X
ISBN: 978-1259903915
7th edition
Authors: J. Holton Wilson, Barry Keating