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A Company Keeps Extensive Records on Its New Salespeople on the Premise

question 99

Essay

A company keeps extensive records on its new salespeople on the premise that sales should increase with experience. A random sample of seven new salespeople produced the data on experience and sales shown in the table.

 Months on Job  Monthly Sales y ($ thousands) 22.447.0811.31215.01.853.7912.0\begin{array}{c|c}\text { Months on Job } & \begin{array}{c}\text { Monthly Sales } \\y \text { (\$ thousands) }\end{array} \\\hline 2 & 2.4 \\4 & 7.0 \\8 & 11.3 \\12 & 15.0 \\1 & .8 \\5 & 3.7 \\9 & 12.0\end{array}

Summary statistics yield SSxx=94.8571,SSxy=124.7571,SSyy=176.5171,xˉ=5.8571S S _ { x x } = 94.8571 , S S _ { x y } = 124.7571 , S S _ { y y } = 176.5171 , \bar { x } = 5.8571 , and yˉ=7.4571\bar { y } = 7.4571 . State the assumptions necessary for predicting the monthly sales based on the linear relationship with the months on the job.

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Definitions:

Prefrontal Gyrus

A portion of the frontal lobe in the brain, important for higher cognitive functions such as decision-making and social behavior.

Central Sulcus

A prominent landmark of the brain, separating the frontal lobe from the parietal lobe, playing a key role in dividing areas involved in motor and sensory functions.

Descending Pathways

Neural paths that transmit signals from the brain down to the body, coordinating movement.

Sensory Functions

Sensory functions refer to the capabilities of the nervous system to receive and process stimuli from the environment through the senses, such as sight, hearing, touch, taste, and smell.

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