Regression Analysis Was Applied Between Sales (Y in $1000) and Advertising

question 6

Multiple Choice

Regression analysis was applied between sales (y in $1000) and advertising (x in $100) and the following estimated regression equation was obtained. ​ = 80 + 6.2x
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Based on the above estimated regression line, if advertising is $10,000, then the point estimate for sales (in dollars) is

• A) $62,080.
• B) $142,000.
• C) $700.
• D) $700,000.

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Definitions:

Direct Marketing

Direct marketing refers to a strategy where businesses communicate directly with targeted customers through various channels, including mail, email, and telephone, to generate a response or transaction.

Sales Promotion

A marketing strategy designed to increase sales temporarily by offering incentives or discounts to consumers or traders.

Promotion Alternatives

Different strategies and methods used by businesses to communicate the value of a product or service to the customers, aiming to increase sales.

Advertising

The process or job of creating content to advertise the sale of business goods or services.