The Manager of a Gas Station Along an Interstate Highway

question 64

Essay

The manager of a gas station along an interstate highway has observed that gasoline sales generally increase each week over the summer months as more families travel by car on vacations.He also believes that sales are sensitive to fluctuations in the price of gasoline.He developed the following regression model:
Sales = 59407 + 509 (Week) - 16463 (Price/gallon)
a.Interpret the coefficients of the independent variables in this model.
b.What is the sales forecast for the 11^th week of the summer if the price per gallon is estimated to be $3.00?

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Definitions:

Essential Realities

The fundamental truths or facts about something, especially those that form its basis or core.

Daily Sustenance

Essential nutrients and food required by an organism to remain healthy and stay alive on a daily basis.

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Written works that explore fundamental questions regarding existence, ethics, knowledge, reason, and the mind.

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An ancient Indian collection of Vedic Sanskrit hymns, one of the four sacred texts (śruti) of Hinduism.