To increase business at OHaganBooks.com, John O’Hagan plans to place more banner ads at...

To increase business at OHaganBooks.com, John O’Hagan plans to place more banner ads at well-known Internet portals. So far, he has the following data on the average number of hits per day at OHaganBooks.com versus monthly advertising expenditures.

He decides to construct a linear model giving the average number of hits h per day as a function of the advertising expenditure c.

a. What is the model he obtains?

b. Based on your model, how much traffic can he anticipate if he budgets $6,000 per month for banner ads?

c. The goal is to eventually increase traffic at the site to an average of 2,500 hits per day. Based on the model, how much should be spent on banner ads in order to accomplish this?