Question: Use the following TABLE and the information given to answer to the below questions. A Hardware store manager believes that there is a linear relationship
Use the following TABLE and the information given to answer to the below questions. A Hardware store manager believes that there is a linear relationship between the income from sales of goods (in thousands of dollars) and the amount spent on advertising (in thousands of dollars).
R&D Spending (Thousands of Dollars)
6
6
4
3
3.5
Income from Sales (Thousands of Dollars)
20
22
21
24
27
27
a) Predicted income from the sales of goods when $ 9.8 is spent on R&D?
b) The value of r is such that -1 < r < +1. The + and - signs are used for positive linear correlations and negative linear correlations, respectively. Calculate R value and discuss the final result.
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