The owner of Showtime Movie Theaters, Inc., used multiple regression analysis to predict gross revenue (y) as a function of television advertising (1) and newspaper advertising (2). Values of y, #1, and 2 are expressed in thousands of dollars. Weekly Gross Revenue ($1000s) 96 90 95 92 95 94 94 94 The estimated regression equation was Television Advertising ($1000s) 5.0 2.0 4.0 2.5 3.0 3.5 2.5 3.0 Newspaper Advertising ($1000s) 1.5 2.0 1.5 2.5 3.3 2.3 4.2 2.5 ŷ = 83.23 +2.29x1 + 1.30x2 a. What is the gross revenue expected for a week where $3,500 is spent on television (1 = 3.5) and $1,800 is spent on newspaper advertising (2 = 1.8) (to 3 decimals)? $93.585 thousand b. Provide a 95% prediction interval for next week's revenue, assuming that the advertising expenditures will be allocated as in part (a) (to 2 decimals). ($94.81 thousand, $ 92.35 thousand)
The owner of Showtime Movie Theaters, Inc., used multiple regression analysis to predict gross revenue (y) as a function of television advertising (1) and newspaper advertising (2). Values of y, #1, and 2 are expressed in thousands of dollars. Weekly Gross Revenue ($1000s) 96 90 95 92 95 94 94 94 The estimated regression equation was Television Advertising ($1000s) 5.0 2.0 4.0 2.5 3.0 3.5 2.5 3.0 Newspaper Advertising ($1000s) 1.5 2.0 1.5 2.5 3.3 2.3 4.2 2.5 ŷ = 83.23 +2.29x1 + 1.30x2 a. What is the gross revenue expected for a week where $3,500 is spent on television (1 = 3.5) and $1,800 is spent on newspaper advertising (2 = 1.8) (to 3 decimals)? $93.585 thousand b. Provide a 95% prediction interval for next week's revenue, assuming that the advertising expenditures will be allocated as in part (a) (to 2 decimals). ($94.81 thousand, $ 92.35 thousand)
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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See image, need help with Part B
Transcribed Image Text:The owner of Showtime Movie Theaters, Inc., used multiple regression analysis to predict gross revenue (y) as a
function of television advertising (1) and newspaper advertising (2). Values of y, *1, and 2 are expressed in
thousands of dollars.
Weekly Gross
Revenue
($1000s)
96
90
95
92
95
94
94
94
The estimated regression equation was
Television
Advertising
($1000s)
5.0
2.0
4.0
2.5
3.0
3.5
2.5
3.0
Newspaper
Advertising
($1000s)
1.5
2.0
1.5
2.5
3.3
2.3
4.2
2.5
ŷ = 83.23 +2.29x1 + 1.30x2
a. What is the gross revenue expected for a week where $3,500 is spent on television (1= 3.5) and $1,800 is
spent on newspaper advertising (2 = 1.8) (to 3 decimals)?
$93.585 thousand
b. Provide a 95% prediction interval for next week's revenue, assuming that the advertising expenditures will be
allocated as in part (a) (to 2 decimals).
($94.81 thousand, $ 92.35
thousand)
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