TABLE 13-2
a Candy Bar Manufacturer Is Interested in Trying

question 179

Multiple Choice

TABLE 13-2
A candy bar manufacturer is interested in trying to estimate how sales are influenced by the price of their product. To do this, the company randomly chooses 6 small cities and offers the candy bar at different prices. Using candy bar sales as the dependent variable, the company will conduct a simple linear regression on the data below:
$$\begin{array} { l l c } \hline \text { City } & \text { Price } ( \$ ) & \text { Sales } \\\hline \text { River Falls } & 1.30 & 100 \\\text { Hudson } & 1.60 & 90 \\\text { Ellsworth } & 1.80 & 90 \\\text { Prescott } & 2.00 & 40 \\\text { Rock Elm } & 2.40 & 38 \\\text { Stillwater } & 2.90 & 32 \\\hline\end{array}$$
-Referring to Table 13-2, what is $?(X -\bar X ) ^2$ for these data?

• A) 2.54
• B) 0
• C) 1.66
• D) 25.66

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Definitions:

Inflation

The magnitude of growth in general service and product prices, causing a decrease in the ability to buy.

Overall Level

A general or comprehensive scope or scale, often referring to the magnitude or intensity of a phenomenon or activity.

Prices

The financial outlay necessary for acquiring a commodity, service, or asset.

U.S. Productivity

A measure of the efficiency of production in the United States, typically evaluated in terms of the output of goods and services per unit of labor input.