Sales and Experience

question 53

Essay

Sales and Experience
The general manager of a chain of department stores believes that experience is the most important factor in determining the level of success of a salesperson.To examine this belief she records last month's sales (in $1,000s)and the years of experience of 10 randomly selected salespeople.These data are listed below. ​ ​
-{Sales and Experience Narrative} Draw a scatter diagram of the data.Comment on whether it appears that a linear model might be appropriate.

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Definitions:

Accounts Receivable

Money owed to a company by its customers for goods or services delivered but not yet paid for.

Sales on Account

Transactions where goods are sold and delivered with the understanding that payment will be made at a later date.

Average Collection Period

The average number of days it takes for a business to receive payments from its customers for invoices issued.

Accounts Receivable

Amounts owed to a company by customers for goods or services that have been delivered or sold but not yet paid for.