The formula for using monthly advertising expenditure to predict monthly sales revenue for a certain company is Y' = 1.81X + 5843 (all values in dollars). This indicates that the company is wasting money on advertising 5843 is spent on advertising each month each dollar spent on advertising increases revenue by $1.81 spending 5843 dollar on advertising increases sales by a factor of 2. If the value of the Standard Error of the Estimate is 6.9, it means that for each increase of 1 unit in X, the Y value is expected to increase by 6.9 units the Y variable is expected to have a value of 6.9 when the X value is 6.9 percent of the variability in Y is explained by the relationship with X about 68 percent of the predicted Y values will fall within 6.9 units on either side of the regression line
The formula for using monthly advertising expenditure to predict monthly sales revenue for a certain company is Y' = 1.81X + 5843 (all values in dollars). This indicates that the company is wasting money on advertising 5843 is spent on advertising each month each dollar spent on advertising increases revenue by $1.81 spending 5843 dollar on advertising increases sales by a factor of 2. If the value of the Standard Error of the Estimate is 6.9, it means that for each increase of 1 unit in X, the Y value is expected to increase by 6.9 units the Y variable is expected to have a value of 6.9 when the X value is 6.9 percent of the variability in Y is explained by the relationship with X about 68 percent of the predicted Y values will fall within 6.9 units on either side of the regression line
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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