Suppose You Estimate the Sample Regression Function $$\log ( \text { Solar } \widehat {Syst}em \text { Sales} ) = 108,632.47 - 3.78 \cdot \log ( \text { Solar System Tax Rate } )$$

question 5

Multiple Choice

Suppose you estimate the sample regression function $$\log ( \text { Solar } \widehat {Syst}em \text { Sales} ) = 108,632.47 - 3.78 \cdot \log ( \text { Solar System Tax Rate } )$$
You should conclude that a

• A)$1 increase in the solar system tax rate is associated with 3.78 fewer solar system sales.
• B)1 percent increase in the solar system tax rate is associated with a 3.78 percent decrease in solar system sales.
• C)1 percent increase in the solar system tax rate is associated with 3.78 fewer solar system sales.
• D)$1 increase in the solar system tax rate is associated with a 3.78 percent decrease in solar system sales.

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Definitions:

Partnering Agreement

An agreement between a seller and a buyer who frequently do business with each other on the terms and conditions that will apply to all subsequently formed electronic contracts.

E-transactions

Electronic transactions involving the exchange of goods, services, or financial assets over digital networks.

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A term indicating the time or a period that is to come after the present.

Mailbox Rule

A legal principle that states an offer is considered accepted once the acceptance is placed in the mailbox, even if it has not yet been received by the offeror.