A Regression Analysis Between Sales (In $1,000)and Advertising (In $1,000)resulted $\hat { y } = 80 + 5 x$

question 227

Multiple Choice

A regression analysis between sales (in $1,000) and advertising (in $1,000) resulted in the following least squares line: $\hat { y } = 80 + 5 x$ .This implies that:

• A) as advertising increases by $1,000,sales increases by $5,000.
• B) as advertising increases by $1,000,sales increases by $80,000.
• C) as advertising increases by $5,sales increases by $80.
• D) None of these choices.