Question

Use computer software packages, such as Minitab or Excel, to solve this problem. The owner of Showtime Movie Theaters, Inc., would like to predict weekly gross revenue as a function of advertising expenditures. Historical data for a sample of eight weeks follow. Weekly Gross Revenue ($1,000s) Television Advertising ($1,000s) Newspaper Advertising ($1,000s) 1.5 105 2.5 a. Develop an estimated regression equation with the amount of television advertising as the independent variable (to 1 decimal). Revenue = TV Adv b. Develop an estimated regression equation with both television advertising and newspaper advertising as the independent variables (to 2 decimals). Revenue = + TVAdv + NVAdv C. Is the estimated regression equation coefficient for television advertising expenditures the same in part (a) and in part (b)? - Select your answer -

Answer 1

Page No.: et data into minitab. Revenue = S 81.5+ 4.2 CTV) (a) Revenue27:03 +4.72 (TV24 1.08 (NVROV) In minitab Stay porus xg for prelict prediction goto Give TV = 3.5 and newspaper = 1.8. 95.50

File Edit Darasale Stat Graph Editor Jools Window Help Assistant RECE|98O@ BOOS DIE ERMERIXITOOL revenue = 77.03 + 4.723 telivision + 109 news Fits and Diagnostics for Unusual Observa Obs revenue 1 105.00 Fit Resid Resi 102.26 2.74 2.20 R Large residual Prediction for revenue Regression Equation revenue = 77.03 + 4.723 telivision + 1.08 newspaper Setting Variable telivision newspaper 3.5 1.8 Fit 95. 4984 SE Fit 0.931702 95% CI (93.1034, 97.9934) 95$ PI (99.6908, 101.