Question: X = % increase in advertising costs Y = % increase in sales X 1 2 4 5 7 9 Y 2 4 5 7

X = % increase in advertising costs Y = % increase in sales X 1 2 4 5 7 9 Y 2 4 5 7 8 10 Calculate r2 and r, what do they mean? Formulate a simple regression equation between X and Y ! Using a simple regression equation, if X = 10, what is the predicted value of Y? With = 5%, test : Ho : = 0. Also test Ho : = 0 Ha : 0 Ha

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