BAD 376 HOMEWORK 2 QUESTION 1 Test whether the mean sales in 3 stores are equal against the alternative that not all the mean sales are equal (use a-10%). A business analyst provided the following information about random samples taken from the stores: Store 1 X₁ =10 Sales Store 2 Store 3 X2=14 X3 =12 S-6 S-4 S-5 n₁ = 4 n₂ =4 n₁ = 5 QUESTION 2 The following is a sample of 4 measurements for X and Y: X Y 2 3 2 5 4 5 7 Calculate the following: 1- The mean of X and the mean of Y; 2- The variance of X and the variance of Y; 3- The covariance between X and Y; that is, COV(X, Y). Comment on your result. 4- Consider the following regression: YB, +ẞ,X a. Use the Ordinary Least Squares Method to estimate B, and ẞ; b. Find the prediction line; c. Compute the coefficient of determination; that is R2. Comment on your result.

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