The Fresh Express Beverage Company Is Interested in Evaluating the Effects

question 8

Multiple Choice

The Fresh Express Beverage Company is interested in evaluating the effects of advertising spend on the sales of their products.Based on historical data,they develop the following equation which approximates this relationship: y = 2.5 + 0.02x,where y is the number of bottles of beverages sold measured in millions of units,and x = amount of money spent on advertising measured in millions of dollars.Based on this information,which of the following statements is correct?

• A)Every additional million dollars spent on advertising will increase the beverage sales by 200,000 units.
• B)The Company will sell a minimum of 2.5 million units even if no money is spent on advertising.
• C)Every additional 20,000 dollars spent on advertising will increase the beverage sales by a million units.
• D)The number of units of beverage sold will decrease beyond a certain amount of money spent on advertising.

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Definitions:

Respiratory Diseases

A group of diseases affecting the lungs and other parts of the respiratory system.

Health Psychologists

Professionals focused on how psychological factors affect health and well-being, and how to apply this knowledge to enhance health.

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The potential negative health effects associated with smoking tobacco, including respiratory diseases and cancer.

Passive Smoking

Involuntary inhalation of smoke from other people's cigarettes, cigars, or pipes, which poses health risks similar to direct smoking.