Sherri Cola Company Has Developed a Regression Model Relating Its $\alpha$

question 107

Essay

Sherri Cola Company has developed a regression model relating its sales (Y in $10,000s) with four independent variables. The four independent variables are price per unit (PRICE, in dollars), competitor's price (COMPRICE, in dollars), advertising (ADV, in $1,000s) and type of container used (CONTAIN; 1 = Cans and 0 = Bottles). Part of the regression results is shown below. (Assume n = 25)
a.If the manufacturer uses can containers, his price is $1.25, advertising $200,000, and his competitor's price is $1.50, what is your estimate of his sales? Give your answer in dollars.
b.Test to see if there is a significant relationship between sales and unit price. Let $\alpha$ = 0.05.
c.Test to see if there is a significant relationship between sales and advertising. Let $\alpha$ = 0.05.
d.Is the type of container a significant variable? Let $\alpha$ = 0.05.
e.Test to see if there is a significant relationship between sales and competitor's price. Let $\alpha$ = 0.05.

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Definitions:

Reliability Indicators

Quantitative measures or markers used to assess the consistency and dependability of research findings or test results over time.

Two-Factor Theory

A psychological theory proposing that emotional experiences arise from a combination of physiological arousal and cognitive interpretation of that arousal.

Different Emotions

Diverse affective states that humans experience, such as happiness, sadness, anger, and fear, each characterized by unique psychological and physiological responses.

Interpretation Of Situation

The process of understanding and giving meaning to a particular circumstance or event through analysis.