An Marketing Analyst Wants to Examine the Relationship Between Sales

question 10

Multiple Choice

An marketing analyst wants to examine the relationship between sales (in $1,000s) and advertising (in $100s) for firms in the food and beverage industry and collects monthly data for 25 firms.He estimates the model: Sales = β₀ +β₁ Advertising + ε.The following ANOVA table below shows a portion of the regression results. Which of the following is the coefficient of determination?

• A) 0.1348
• B) 0.1558
• C) 0.8442
• D) 0.8652

Distinguish between positive and negative correlations.

Grasp the concept of selection bias and its effect on research outcomes.

Understand the methodology and application of regression discontinuity in research.

Identify the difference-in-differences method and its usage in evaluating policy effects.

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Definitions:

Net Sales

The total revenue from sales minus returns, allowances, and discounts.

Gross Profit

The financial gain obtained after subtracting the cost of goods sold from net sales revenues, indicating the efficiency of core business operations.

Beginning Inventory

The value of a company's inventory at the start of an accounting period, carried over from the end of the previous period.

Days In Inventory Ratio

A financial metric indicating the average number of days a company holds inventory before selling it, calculated as inventory divided by cost of goods sold, then multiplied by 365 days.