McMahon and Tate Advertising Company Is Interested in an Appropriate

question 18

Multiple Choice

McMahon and Tate advertising company is interested in an appropriate mix of print, radio, and television ads for their new client. Darrin Stevens performs a multiple regression on the effects of dollars spent on each type of media on dollars of sales of product. Darrin uses data from the most recent advertising campaigns and develops the following equation: y = 254,215 + 6.79 × Print - 1.4 × Radio + 16.87 × Television
The r-squared statistic is 0.77 and all coefficients are significant. Which of the following statements is best?

• A)At a minimum, the client will sell $254,215 worth of product after the new advertising campaign.
• B)At a maximum, the client will sell $254,215 worth of product after the new advertising campaign.
• C)This equation will be of no use in predicting the amount of sales based on advertising in these media.
• D)The client should spend more money on television advertising than on radio advertising.

---

Definitions:

Conventional Morality

refers to a stage in Lawrence Kohlberg's theory of moral development, where moral reasoning is based on social rules and conventions.

Formal Operations

The final stage in Piaget's theory of cognitive development, characterized by the ability to think abstractly and logically.

High School Education

An academic program typically covering grades 9 through 12, aimed at providing students with foundational knowledge, skills, and qualifications for higher education or the workforce.

Personal Fable

An adolescent's belief in their own uniqueness, invulnerability, and misunderstood nature.