Consider the demand for Fresh Detergent in a future sales period when Enterprise Industries' price for Fresh will be x₁ = 3.84, the average price of competitors' similar detergents will be x2 = 3.93, and Enterprise Industries' advertising expenditure for Fresh will be x3 = .00. A 95 percent prediction interval for this demand is given on the following JMP output: 31 Predicted Demand 8.5665895648 95% PI[ Level of inventory needed = Lower dollar amount = Lower 95% Mean Upper 95 % Mean Demand Demand 8.0099247189 9.1232544107 99% PI[ StdErr Indiv Demand .2708133658 (a) Find and report the 95 percent prediction interval on the output. If Enterprise Industries plans to have in inventory the number of bottles implied by the upper limit of this interval, it can be very confident that it will have enough bottles to meet demand for Fresh in the future sales period. How many bottles is this? If we multiply the number of bottles implied by the lower limit of the prediction interval by the price of Fresh ($3.84), we can be very confident that the resulting dollar amount will be the minimum revenue from Fresh in the future sales period. What is this dollar amount? (Round 95% Pl to 4 decimal places and dollar amount and Level of inventory needed to the nearest whole number.) bottles. Lower 95% Indiv Demand 7.0458521092 Upper 95% Indiv Demand 10.0873270200 (b) Calculate a 99 percent prediction interval for the demand for Fresh in the future sales period. Hint: n=30 and s= 0.688. Optional technical note needed. The distance value equals Leverage. (Round your answers to 4 decimal places.)

College Algebra
1st Edition
ISBN:9781938168383
Author:Jay Abramson
Publisher:Jay Abramson
Chapter6: Exponential And Logarithmic Functions
Section6.8: Fitting Exponential Models To Data
Problem 5SE: What does the y -intercept on the graph of a logistic equation correspond to for a population...
Question
= 3.84, the
Consider the demand for Fresh Detergent in a future sales period when Enterprise Industries' price for Fresh will be x1
average price of competitors' similar detergents will be x2 = 3.93, and Enterprise Industries' advertising expenditure for Fresh will be
x3 = .00. A 95 percent prediction interval for this demand is given on the following JMP output:
31
Predicted
Demand
8.5665895648
95% PI[
Level of inventory needed =
Lower dollar amount =
Lower 95% Mean
Demand
8.0099247189
Upper 95% Mean
Demand
9.1232544107
99% PI[
StdErr Indiv
Demand
.2708133658
(a) Find and report the 95 percent prediction interval on the output. If Enterprise Industries plans to have in inventory the number of
bottles implied by the upper limit of this interval, it can be very confident that it will have enough bottles to meet demand for Fresh in
the future sales period. How many bottles is this? If we multiply the number of bottles implied by the lower limit of the prediction
interval by the price of Fresh ($3.84), we can be very confident that the resulting dollar amount will be the minimum revenue from
Fresh in the future sales period. What is this dollar amount? (Round 95% Pl to 4 decimal places and dollar amount and Level of
inventory needed to the nearest whole number.)
bottles.
Lower 95% Indiv
Demand
7.0458521092
Upper 95% Indiv
Demand
10.0873270200
(b) Calculate a 99 percent prediction interval for the demand for Fresh in the future sales period. Hint: n = 30 and s= 0.688. Optional
technical note needed. The distance value equals Leverage. (Round your answers to 4 decimal places.)
Transcribed Image Text:= 3.84, the Consider the demand for Fresh Detergent in a future sales period when Enterprise Industries' price for Fresh will be x1 average price of competitors' similar detergents will be x2 = 3.93, and Enterprise Industries' advertising expenditure for Fresh will be x3 = .00. A 95 percent prediction interval for this demand is given on the following JMP output: 31 Predicted Demand 8.5665895648 95% PI[ Level of inventory needed = Lower dollar amount = Lower 95% Mean Demand 8.0099247189 Upper 95% Mean Demand 9.1232544107 99% PI[ StdErr Indiv Demand .2708133658 (a) Find and report the 95 percent prediction interval on the output. If Enterprise Industries plans to have in inventory the number of bottles implied by the upper limit of this interval, it can be very confident that it will have enough bottles to meet demand for Fresh in the future sales period. How many bottles is this? If we multiply the number of bottles implied by the lower limit of the prediction interval by the price of Fresh ($3.84), we can be very confident that the resulting dollar amount will be the minimum revenue from Fresh in the future sales period. What is this dollar amount? (Round 95% Pl to 4 decimal places and dollar amount and Level of inventory needed to the nearest whole number.) bottles. Lower 95% Indiv Demand 7.0458521092 Upper 95% Indiv Demand 10.0873270200 (b) Calculate a 99 percent prediction interval for the demand for Fresh in the future sales period. Hint: n = 30 and s= 0.688. Optional technical note needed. The distance value equals Leverage. (Round your answers to 4 decimal places.)
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