The Concessions Manager at a Beachside Park Recorded the High

question 111

Essay

The concessions manager at a beachside park recorded the high temperature, the number of people at the park, and the number of bottles of water sold for each of 12 consecutive saturdays. The data are shown below. $$\begin{array} { c c c } \hline \text { Bottles Sold } & \text { Temperature } \left( { } ^ { \circ } \mathrm { F } \right) & \text { People } \\\hline 341 & 73 & 1625 \\425 & 79 & 2100 \\457 & 80 & 2125 \\485 & 80 & 2800 \\469 & 81 & 2550 \\395 & 82 & 1975 \\511 & 83 & 2675 \\549 & 83 & 2800 \\543 & 85 & 2850 \\537 & 88 & 2775 \\621 & 89 & 2800 \\897 & 91 & 3100 \\\hline\end{array}$$ a. Fit the model $E ( y ) = \beta _ { 0 } + \beta _ { 1 } x _ { 1 } + \beta _ { 2 } x _ { 2 }$ to the data, letting $y$ represent the number of bottles of water sold, $x _ { 1 }$ the temperature, and $x _ { 2 }$ the number of people at the park.
b. Find the $95 \%$ confidence interval for the mean number of bottles of water sold when the temperature is $84 ^ { \circ } \mathrm { F }$ and there are 2700 people at the park.
c. Find the $95 \%$ prediction interval for the number of bottles of water sold when the temperature is $84 ^ { \circ } \mathrm { F }$ and there are 2700 people at the park.

Determine and analyze the inventory turnover ratio.

Discern differences and significances between liquidity ratios such as quick, current, and cash ratios.

Understand and calculate the times interest earned ratio and its significance in assessing financial health.

Analyze inventory management efficiency through the inventory turnover ratio and average days to sell inventory.

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Definitions:

Merchandise Inventory

The goods and products a retail or wholesale company holds for the purpose of resale to customers.

Liability Account

A financial reporting category that encompasses all obligations or debts a company owes to outside parties.

Merchandise Inventory

The total cost of all the goods held by a company that are available for sale to customers in the retail or wholesale sector.

Periodic

Relating to, occurring, or appearing at regularly occurring intervals.