Stardoe\'s Coffee Shop has found over the years that the average temperature in

Question

Stardoe's Coffee Shop has found over the years that the average temperature in their restaurant is 72 degrees with a standard deviation of 2.3 degrees. The average number of cups of coffee purchased per person is 1.3 cups with a standard deviation of .23 cups. The correlation between the temperature of the restaurant and the number of cups of coffee purchased is r = -.44. Based on this information, which of the following is closest to the regression equation for predicting cups of coffee purchased from the temperature of the restaurant?

Explanation / Answer

Here, coffee cups is the dependent variable (Y) and temperature is independent(X)

The regression equation will be of the coefficients:

b = r * ( Sy / Sx )

= -0.44 * (0.23 / 2.3)

= -0.044

a = (Y-mean) - b(X-mean)

= 1.3 - (-0.044 * 72)

= 4.468

Thus, the eqaution will be :

Cups of coffee = 4.468 - 0.044(Temperature)

Hope this helps.

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