Question: Question B-2: Regression with Dummy Variable (Ch18 slides; 5 points) Consider the regression model: Y =Bot BID+ B2X + B3DX+5 where: Y = per capita

Question B-2: Regression with Dummy Variable (Ch18 slides; 5 points) Consider the regression model: Y =Bot BID+ B2X + B3DX+5 where: Y = per capita sales of a product in a sales territory (in $100,000); D = 1 if advertising level is high, 0 if advertising level is low; X= number of salespeople in the territory. Q1: Write the regression equation separately for high advertising and low advertising. Q2: Express the following hypothesis in terms of regression parameters: " If advertising level is low, then adding one more salesperson does not change sales on the average." Q3: Suppose the regression line is given by: Y = 15 + 2.1*D + 1.5*X+.5*D*X + & If advertising level is high, what is the average increase in sales if you add one more salesperson

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