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It is believed that the sales volume of one-liter Pepsi bottles depends on the price of the bottle and the price of a one-liter bottle of Coca-Cola.The following data have been collected for a certain sales region. Using Excel's regression,the linear model Pepsi Sales = β0 + β1Pepsi Price + β2Cola Price + ε and the log-log model ln(Pepsi Sales)= β0 + β1ln(Pepsi Price)+ β2ln(Cola Price)+ ε have been estimated as follows:
(Use Excel)What is the percentage of variations in the Pepsi Sales as explained by the estimated log-log model?
Variance
A measure of the dispersion or spread of a set of data points around their mean; it quantifies the degree to which these points differ from the mean.
Original Data
The initial dataset collected or received before any processing, manipulation, or analysis has been done.
Independent Events
Events whose occurrence or outcome is not influenced by the occurrence or outcome of another event.
P(A and B)
The probability that both events A and B occur.
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