A Grass Seed Company Conducts a Study to Determine the Relationship

question 1

Multiple Choice

A grass seed company conducts a study to determine the relationship between the density of seeds planted (in pounds per 500 sq ft) and the quality of the resulting lawn.Eight similar
Plots of land are selected and each is planted with a particular density of seed.One month
Later the quality of each lawn is rated on a scale of 0 to 100.The regression analysis and
Summary statistics are given below.Find a 99% confidence interval for the mean lawn
Quality of all lawns sown with a seed density of 2.5. $\begin{array} { l l l l } \text { Variable } & \text { Count } & \text { Mean } & \text { StdDev } \\ \text { Seed Density } & 8 & 2.75 & 0.49099 \\ \text { Lawn Quality } & 8 & 45.625 & 3.712611 \end{array}$
Dependent variable is: Lawn Quality
$R$ squared $= 36.0\%$
$s = 9.073602$ with $8 - 2 = 6$ degrees of freedom
$\begin{array} { l l l l l } \text { Variable } & \text { Coefficient } & \text { s.e. of Coeff } & \text { t-ratio } & \text { prob } \\ \text { Constant } & 31.14815 & 7.510757 & 4.413423 & 0.004503 \\ \text { Seed Density } & 4.537037 & 2.469522 & 1.837213 & 0.115825 \end{array}$

• A) \(( 31.1,53.9 )\)
• B) \(( 30.4,54.6 )\)
• C) \(( 42.0,47.0 )\)
• D) \(( 6.7,78.2 )\)

---

Definitions:

Prospective Franchisees

Individuals or entities considering and evaluating the opportunity to operate a branch of a franchise.

Anticompetitive Agreements

Contracts or collaborations between businesses that restrict competition in the marketplace, often considered illegal under antitrust laws.

Freedom of Contract

The principle that individuals have the liberty to create, define, and enforce agreements without undue government interference.

Projected Earnings Figures

Financial estimates predicting a company's future profitability over a specific period of time.