Hello, Please help to explain the details with the correct answers to this probl

Question

Hello,

Please help to explain the details with the correct answers to this problem, especially, why it was a wrong question 12?

Thanks

nformation on the selling price of pens lin cents) and number of pens sold (in thousands) were entered into Excel. The following printout was obtained. Use this printout to answer the next four questions SUMMARY OUTPUT Regression Statistics Multiple R R Square Adjusted R Square0.720844388 Standard Error Observations 0.86068814 0.740784074 1.737680409 15 ANOVA Significance MS Regression Residual Total 1 112.1794112.1794 37.15124 3.81E-05 13 39.25393 3.019533 14 151.4333 Standard Error Coefficients P-value ) Lower 95% Upper 95% Lower 95.0% Upper 95.0% 28.9154013 2.096432 13.79268 3.87-09 24.38634 33.44447 24.386336 33.4444665 -0.191052061 0.031345 6.095182 3.81E-05 0.258768 0.123336 0.2587683 -0.1233358 t Stat Intercept Price in cents 11. What is the interpretation of the number-0.191 (to three decimal places) in the above printout? For every $0.01 increase in price, the number of pens sold will decrease by 1.91. b. a. For every $0.01 increase in price, the number of pens sold will decrease by 19,100 c. For every $0.01 decrease in price, the number of pens sold will decrease by 1,910 d. For every $0.01 increase in price, the number of pens sold will decrease by 191. (12. What is the estimated number of pens sold if the elling price is $0.90? Round all regression parameters to three decimal places before doing your calculation a. 9,746 b. 11,725 c. 13,635 Wrong vd.) 28,762 13. Assume alpha to be 0.05. Based on this you would the null hypothesis and conclude that there statistically significant relationship between the independent and dependent variables. a. accept, is no b. accept, is a c. reject, is no /(d. reject, is a 14. Approximately what percentage of the variation in the number of p ens sold is "explained" by changes in price? 68% 72% 74% 78% b. d.

Explanation / Answer

Ans 12)

As per the instructions given in the question numbers of pens sold should be in thousands therefore transforming 28.915 into 28915, similarly price of pen should be in cents then $0.9 would be 90 cents

Coefficient should be written as -0.191*1000=-191

Now we can calculate the number of pens sold at price of 90 cents as follows

28915-191(90)=11725

Hence option b is correct answer( Kindly check and let me know)

Related Questions

Navigate

• Browse (All)
• Browse H
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.