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

question 106

Multiple Choice

Regression analysis was applied between sales (in $1000) and advertising (in $100) and the following regression function was obtained. ​ = 500 + 4x
​
Based on the above estimated regression line, if advertising is $10,000, then the point estimate for sales (in dollars) is

• A) $900.
• B) $900,000.
• C) $40,500.
• D) $505,000.

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