Question: A regression model between sales (y in $ 1000), unit price (x1 in dollars) and TV advertising (x2 in dollars) resulted in the following function:
A regression model between sales (y in $ 1000), unit price (x1 in dollars) and TV advertising (x2 in dollars) resulted in the following function: y = 7 - 2x1 + 5x2
The unit price coefficient indicates that if the unit price is _____.
Select one: 1. Increased by $ 1 (keeping advertising constant), sales are expected to decrease by $ 2000 2. decreased by $ 1 (keeping advertising constant), sales are expected to decrease by $ 2 3. increased by $ 1 (keeping advertising constant), sales are expected to increase by $ 4000 4. Increased by $ 1 (keeping advertising constant), sales are expected to increase by $ 2
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