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SCENARIO 12-11
a Computer Software Developer Would Like to Use

question 122

Multiple Choice

SCENARIO 12-11
A computer software developer would like to use the number of downloads (in thousands) for the trial version of his new shareware to predict the amount of revenue (in thousands of dollars) he can make on the full version of the new shareware.Following is the output from a simple linear regression
along with the residual plot and normal probability plot obtained from a data set of 30 different sharewares that he has developed:
$SCENARIO 12-11 A computer software developer would like to use the number of downloads (in thousands) for the trial version of his new shareware to predict the amount of revenue (in thousands of dollars) he can make on the full version of the new shareware.Following is the output from a simple linear regression along with the residual plot and normal probability plot obtained from a data set of 30 different sharewares that he has developed: \begin{array}{lr} {\text { Regression Statistics }} \\ \hline \text { Multiple R } & 0.8691 \\ \hline \text { R Square } & 0.7554 \\ \hline \text { Adjusted R Square } & 0.7467 \\ \hline \text { Standard Error } & 44.4765 \\ \hline \text { Observations } & 30.0000 \\ \hline \end{array} \text { ANOVA } \begin{array}{|l|r|r|r|r|r|} \hline &\text { df } & \text { SS } & \text { MS } & F & \text { Significance } F \\ \hline \text { Regression } & 1 & 171062.9193 & 171062.9193 & 86.4759 & 0.0000 \\ \hline \text { Residual } & 28 & 55388.4309 & 1978.1582 & & \\ \hline \text { Total } & 29 & 226451.3503 & & \\ \hline \end{array} Simple Linear Regression 12-41 -Referring to Scenario 12-11, which of the following is the correct interpretation for the slope coefficient? A) For each decrease of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. B) For each increase of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. C) For each decrease of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands. D) For each increase of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands.$ $\begin{array}{lr}{\text { Regression Statistics }} \\\hline \text { Multiple R } & 0.8691 \\\hline \text { R Square } & 0.7554 \\\hline \text { Adjusted R Square } & 0.7467 \\\hline \text { Standard Error } & 44.4765 \\\hline \text { Observations } & 30.0000 \\\hline\end{array}$

$\text { ANOVA }$
$\begin{array}{|l|r|r|r|r|r|}\hline &\text { df } & \text { SS } & \text { MS } & F & \text { Significance } F \\ \hline \text { Regression } & 1 & 171062.9193 & 171062.9193 & 86.4759 & 0.0000 \\\hline \text { Residual } & 28 & 55388.4309 & 1978.1582 & & \\\hline \text { Total } & 29 & 226451.3503 & & \\\hline\end{array}$

$SCENARIO 12-11 A computer software developer would like to use the number of downloads (in thousands) for the trial version of his new shareware to predict the amount of revenue (in thousands of dollars) he can make on the full version of the new shareware.Following is the output from a simple linear regression along with the residual plot and normal probability plot obtained from a data set of 30 different sharewares that he has developed: \begin{array}{lr} {\text { Regression Statistics }} \\ \hline \text { Multiple R } & 0.8691 \\ \hline \text { R Square } & 0.7554 \\ \hline \text { Adjusted R Square } & 0.7467 \\ \hline \text { Standard Error } & 44.4765 \\ \hline \text { Observations } & 30.0000 \\ \hline \end{array} \text { ANOVA } \begin{array}{|l|r|r|r|r|r|} \hline &\text { df } & \text { SS } & \text { MS } & F & \text { Significance } F \\ \hline \text { Regression } & 1 & 171062.9193 & 171062.9193 & 86.4759 & 0.0000 \\ \hline \text { Residual } & 28 & 55388.4309 & 1978.1582 & & \\ \hline \text { Total } & 29 & 226451.3503 & & \\ \hline \end{array} Simple Linear Regression 12-41 -Referring to Scenario 12-11, which of the following is the correct interpretation for the slope coefficient? A) For each decrease of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. B) For each increase of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. C) For each decrease of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands. D) For each increase of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands.$

$SCENARIO 12-11 A computer software developer would like to use the number of downloads (in thousands) for the trial version of his new shareware to predict the amount of revenue (in thousands of dollars) he can make on the full version of the new shareware.Following is the output from a simple linear regression along with the residual plot and normal probability plot obtained from a data set of 30 different sharewares that he has developed: \begin{array}{lr} {\text { Regression Statistics }} \\ \hline \text { Multiple R } & 0.8691 \\ \hline \text { R Square } & 0.7554 \\ \hline \text { Adjusted R Square } & 0.7467 \\ \hline \text { Standard Error } & 44.4765 \\ \hline \text { Observations } & 30.0000 \\ \hline \end{array} \text { ANOVA } \begin{array}{|l|r|r|r|r|r|} \hline &\text { df } & \text { SS } & \text { MS } & F & \text { Significance } F \\ \hline \text { Regression } & 1 & 171062.9193 & 171062.9193 & 86.4759 & 0.0000 \\ \hline \text { Residual } & 28 & 55388.4309 & 1978.1582 & & \\ \hline \text { Total } & 29 & 226451.3503 & & \\ \hline \end{array} Simple Linear Regression 12-41 -Referring to Scenario 12-11, which of the following is the correct interpretation for the slope coefficient? A) For each decrease of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. B) For each increase of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. C) For each decrease of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands. D) For each increase of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands.$ Simple Linear Regression 12-41 $SCENARIO 12-11 A computer software developer would like to use the number of downloads (in thousands) for the trial version of his new shareware to predict the amount of revenue (in thousands of dollars) he can make on the full version of the new shareware.Following is the output from a simple linear regression along with the residual plot and normal probability plot obtained from a data set of 30 different sharewares that he has developed: \begin{array}{lr} {\text { Regression Statistics }} \\ \hline \text { Multiple R } & 0.8691 \\ \hline \text { R Square } & 0.7554 \\ \hline \text { Adjusted R Square } & 0.7467 \\ \hline \text { Standard Error } & 44.4765 \\ \hline \text { Observations } & 30.0000 \\ \hline \end{array} \text { ANOVA } \begin{array}{|l|r|r|r|r|r|} \hline &\text { df } & \text { SS } & \text { MS } & F & \text { Significance } F \\ \hline \text { Regression } & 1 & 171062.9193 & 171062.9193 & 86.4759 & 0.0000 \\ \hline \text { Residual } & 28 & 55388.4309 & 1978.1582 & & \\ \hline \text { Total } & 29 & 226451.3503 & & \\ \hline \end{array} Simple Linear Regression 12-41 -Referring to Scenario 12-11, which of the following is the correct interpretation for the slope coefficient? A) For each decrease of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. B) For each increase of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands. C) For each decrease of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands. D) For each increase of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands.$
-Referring to Scenario 12-11, which of the following is the correct interpretation for the slope coefficient?

Definitions:

Self-Reinforcement

A process where individuals reward themselves for reaching a goal or maintaining a standard of behavior.

Attentional Processes

Cognitive tasks involved in focusing mental resources on specific stimuli while ignoring others, critical for tasks involving perception, memory, and decision making.

Incentive

A motivating factor or reward that encourages a person to perform an action or exhibit a behavior.

Motivational Processes

The underlying influences, dynamics, or mechanisms that direct an individual's behavior towards achieving certain goals or fulfilling needs.

SCENARIO 12-11 a Computer Software Developer Would Like to Use

Definitions:

SCENARIO 12-11
a Computer Software Developer Would Like to Use