For some reason, I am hitting a brick wall and not understanding
how to work the last part of this problem. If you can show the
steps I would Appreciate it a TON
- For Some Reason I Am Hitting A Brick Wall And Not Understanding How To Work The Last Part Of This Problem If You Can S 1 (208 KiB) Viewed 40 times
Susan Smith, sales manager of Snazzy Arenas, is checking to see if there is any relationship between promotional costs and ticket revenues at the sports stadium. She obtains the following data for the past 9 months: (Click the icon to view the data) She estimates the following regression equation: Ticket revenues = 543,814 + ($2.50 Promotional costs) Read the requirements هه وليه ه ه ه ه ه ميه ميه فيه فيه O The vertical differences between actual and predicted revenues appears to be quite large. This indicates that promotional costs are not related to ticket revenues. The vertical differences between actual and predicted revenues appears to be reasonably small. This indicates that promotional costs are related to ticket revenues. Slope of regression line: The slope of the regression line appears to be almost flat indicating that, on average, ticket revenues do not vary with spending on promotions The slope of the regression line appears to be relatively steep indicating that, on average, ticket revenues increase with spending on promotions. Requirement 2. Use the high-low method to compute the function relating promotional costs and revenues (Complete all answer boxes.) Revenues $36,600 $3.40 Promotional costs ) Requirement 3. Using (a) the regression equation and (b) the high-low equation, what is the increase in revenues for each $10,000 spent on promotional within the relevant range? Which method should Susan use to predict the effect of promotional costs on revenues? Explain briefly. (Round your answers to the nearest whole dollar.) The increase in revenues for each $10,000 spent on promotional costs within the relevant range using (a), the regression equation is and using (b), the high-low equation, is
- X 3. Using (a) the regression equation and (b) the high-low equation, what is the increase in revenues for each $10,000 spent on promotional within the relevant range? Which method should Susan use to predict the effect of promotional costs on revenues? Explain briefly. Data table Slo Print Done TTC Soporte Toy CSSTOT cappears to DC CIV Cry Stop Trong Croc, on average, RCTC CTILISTICI COSC wie Spony Requirement 2. Use the high-low method to compute the function relating promotional costs and revenues. (Complete all answer Revenues $36,600 $3.40 Promotional costs) Requirement 3. Using (a) the regression equation and (b) the high-low equation, what is the increase in revenues for each $10.00 the effect of promotional costs on revenues? Explain briefly. (Round your answers to the nearest whole dollar.) The increase in revenues for each $10,000 spent on promotional costs within the relevant range using (a), the regression equation is and using (b), the high-low equation, is Month April May June July August September October November December Ticket Revenues Promotional Costs $ 210,000 $ 51,000 280,000 64,000 330.000 79.000 490,000 89,000 440,000 99,000 460,000 109,000 550.000 119,000 680,000 179,000 703,000 196,000