An Marketing Analyst Wants to Examine the Relationship Between Sales

question 38

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 prediction of Sales for a firm with Advertising of $500?

• A) $1,480
• B) $40,100
• C) $54,500
• D) $148,000

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Definitions:

Liability

The state of being legally responsible for something, particularly in terms of debts or legal obligations.

Partnership

An authorized business arrangement where two or more partners share both the administration and the profits.

Dissolution

The closure or termination of an entity's existence, such as a corporation or partnership.

UPA

Uniform Partnership Act, which is legislation adopted by various states in the USA to govern partnership formation and operation.