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Let y = sales at a fast-food outlet (1000s of $), x, = number of competing outlets within a 1-mile radius, x, = population within a 1-mile radius (1000s of people), and x, be an indicator variable that equals 1 if the outlet has a drive-up window and 0 othervise. Suppose that the true regression model i Y= 12.00 - 1.1x, + 6.8x, + 15.3x, + (a) What is the mean value of sales when the number of competing outlets is 3, there are 8000 people within a 1-mile radius, and the outlet has a drive-up window? (Round your answer to one decimal place.) thousand dollars (b) What is the mean value of sales for an outlet without a drive-up window that has four competing outlets and 4000 people within a 1-mile radius? (Round your answer to one decimal place.) thousand dollars (c) Interpret . O There are on average 15.3 fast-food outlets with drive-ups in a 1 mile radius. O It takes $15,300 to build a drive-up. O Approximately 1 in 15.3 fast-food outlets have drive-ups. O A drive-up will add $15,300 to total sales.

Let y = sales at a fast-food outlet (1000s of $), x, = number of competing outlets within a 1-mile radius, x, = population within a 1-mile radius (1000s of people), and x, be an indicator variable that equals 1 if the outlet has a drive-up window and 0 othervise. Suppose that the true regression model i Y= 12.00 - 1.1x, + 6.8x, + 15.3x, + (a) What is the mean value of sales when the number of competing outlets is 3, there are 8000 people within a 1-mile radius, and the outlet has a drive-up window? (Round your answer to one decimal place.) thousand dollars (b) What is the mean value of sales for an outlet without a drive-up window that has four competing outlets and 4000 people within a 1-mile radius? (Round your answer to one decimal place.) thousand dollars (c) Interpret . O There are on average 15.3 fast-food outlets with drive-ups in a 1 mile radius. O It takes $15,300 to build a drive-up. O Approximately 1 in 15.3 fast-food outlets have drive-ups. O A drive-up will add $15,300 to total sales.

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Let y = sales at a fast-food outlet (1000s of $), x, = number of competing outlets within a 1-mile radius, x, = population within a 1-mile radius (1000s of people), and x, be an indicator variable that equals 1 if the outlet has a drive-up window and o otherwise. Suppose that the true regression model is Y = 12.00 - 1.1x, + 6.8x, + 15.3x, + E (a) What is the mean value of sales when the number of competing outlets is 3, there are 8000 people within a 1-mile radius, and the outlet has a drive-up window? (Round your answer to one decimal place.) thousand dollars (b) What is the mean value of sales for an outlet without a drive-up window that has four competing outlets and 4000 people within a 1-mile radius? (Round your answer to one decimal place.) thousand dollars (c) Interpret B. O There are on average 15.3 fast-food outlets with drive-ups in a 1 mile radius. O It takes $15,300 to build a drive-up. O Approximately 1 in 15.3 fast-food outlets have drive-ups. O A drive-up will add $15,300 to total sales.
Transcribed Image Text:Let y = sales at a fast-food outlet (1000s of $), x, = number of competing outlets within a 1-mile radius, x, = population within a 1-mile radius (1000s of people), and x, be an indicator variable that equals 1 if the outlet has a drive-up window and o otherwise. Suppose that the true regression model is Y = 12.00 - 1.1x, + 6.8x, + 15.3x, + E (a) What is the mean value of sales when the number of competing outlets is 3, there are 8000 people within a 1-mile radius, and the outlet has a drive-up window? (Round your answer to one decimal place.) thousand dollars (b) What is the mean value of sales for an outlet without a drive-up window that has four competing outlets and 4000 people within a 1-mile radius? (Round your answer to one decimal place.) thousand dollars (c) Interpret B. O There are on average 15.3 fast-food outlets with drive-ups in a 1 mile radius. O It takes $15,300 to build a drive-up. O Approximately 1 in 15.3 fast-food outlets have drive-ups. O A drive-up will add $15,300 to total sales.
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