**Regression Analysis Example**A regression analysis was conducted to examine the relationship between sales (measured in $1,000s) and advertising (measured in $100s). The resulting regression function is as follows:\[\hat{y} = 500 + 4x\]**Estimation Problem**Using the estimated regression line above, calculate the expected sales (in dollars) when advertising expenditure is $10,000. Select the correct estimate from the options below:- $900- $900,000- $40,500- $505,000**Solution Explanation**To find the point estimate for sales when advertising is $10,000:- Convert the advertising amount into units of $100s: $10,000 \div 100 = 100$.- Use the regression equation: $\hat{y} = 500 + 4 \times 100$.- Calculate: $\hat{y} = 500 + 400 = 900$.Therefore, the point estimate for sales is $900,000. This suggests that for an advertising spend of $10,000, the expected sales amount is $900,000.

Given information- We have given the regression line- y^=500+4x y^=sales (in $1000s)x=advertising…

Answered: Regression analysis was applied between…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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In order for applicants to work for the foreign-service department, they must take a test in the language of the country where they plan to work. The data below shows the relationship between the number of years that applicants have studied a particular language and the grades they received on the proficiency exam. Find the equation of the regression line for the given data. Number of years, x 4 4 3 6 2 7 3 Grades on test, y 61 68 75 82 73 90 58 93 72 滷 O A. =6.910x+46.261 O B. y = 46.261x+6.910 OC. v=6.910x-46.261 OD. O D. y = 46.261x -6.910 Fi St 5e Assig
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