Consider the Following Proposed Determining Function for the Number of Views

question 33

Multiple Choice

Consider the following proposed determining function for the number of views on the New York Times home webpage for a day, i. NumViews_i = 1400 - 700 Weekend Day_i + 200 Election Year_i + U_i, where weekend day is binary variable for if day i is a Saturday or Sunday, and election year is a binary variable for if day i is in an election year. Derive the formula for the change in views with respect to a change in going from a weekday to a weekend (holding Election Year constant) .

• A) Views increase by 200.
• B) Views decrease by 200.
• C) Views increase by 1400.
• D) Views increase by 700.

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Definitions:

Profit Sharing

An incentive program that grants employees a share in the company's profits as part of their compensation.

Expected Profits

The anticipated financial gain from an investment or business activity, calculated by multiplying possible outcomes by their probabilities and summing the results.

Cost Function

Function relating cost of production to level of output and other variables that the firm can control.

Profit Sharing

A company policy or agreement that distributes a portion of its profits among employees, typically based on their performance or salary.