Question

16.5 Xr16-05 To help determine how many beers to stock the concession manager at Yankee Stadium wanted to know how the temperature affected beer sales. Accordingly, she took a sample of 10 games and recorded the number of beers sold and the tem- perature in the middle of the game. 80 68 78 79 87 Temperature Number of beers 20,533 1,439 13,829 21,286 30,985 74 86 92 77 84 Temperature Number of beers 17,187 30,240 37,596 9,610 28,742 a. Compute the coefficients of the regression line. b. Interpret the coefficients. The exercises that follow were created to allow you to see how regression analysis is used to solve realistic problems. As a result, most feature a large number of observations. We anticipate that most students will solve these problems using a computer and statistical software. However, for students without these resources, we have computed the means, variances, and covariances rent feature a lang solve these prudents wit

Answer 1

	temperature (X)	no. of beers(Y)	x= X- mean of X	y=Y-mean of Y	square of x	xy
	80	20533	-0.5	-611.7	0.25	305.85
	68	1439	-12.5	-19705.7	156.25	246321.25
	78	13829	-2.5	-7315.7	6.25	18289.25
	79	21286	-1.5	141.3	2.25	-211.95
	87	30985	6.5	9840.3	42.25	63961.95
	74	17187	-6.5	-3957.7	42.25	25725.05
	86	30240	5.5	9095.3	30.25	50024.15
	92	37596	11.5	16451.3	132.25	189189.95
	77	9610	-3.5	-11534.7	12.25	40371.45
	84	28742	3.5	7597.3	12.25	26590.55
total	805	211447			436.5	660567.5
mean	80.5	21144.7

Y= a+bX + u

b= $\frac{\sum xy}{\sum x^{2}}$ = 660567.5/ 436.5

= 1513.33

a= mean of Y - b mean of X =21144.7 -1513.33 (80.5)

a= -100678.365

Y= -100678.365 + 1513.33 X + u

this means when temperature is zero , beer sales = -100678.365

when temperature increases by 1, beer sales will increase by1513.33

Answer 2

To help determine how many beers to stock the concession manager at Yankee Stadium wanted to know how the temperature affected beer sales. Accordingly, she took a sample of 10 games and recorded the number of beers sold and the temperature in the middle of the game. (10 Marks) a) Compute the coefficients of the regression line. b) Interpret the coefficients.