Question

Suppose the linear regression line y = 2.1x 130 predicts sales based on the money spent on advertising. if x represents the dollars spent in advertising, and y represents the company sales in dollars, about how much can the company expect in sales if it spends $150 in advertising?

a. $315
b. $465
c. $130
d. $445

Answer 1

The company can expect approximately $445 in sales if it spends $150 in advertising.

Step-by-step explanation:

To predict sales based on the money spent on advertising, we can use the linear regression line y = 2.1x + 130. In this equation, x represents the dollars spent on advertising and y represents the company sales in dollars. To find out how much the company can expect in sales if it spends $150 on advertising, we substitute x = 150 into the equation:

y = 2.1(150) + 130 = 315 + 130 = 445.

Therefore, the company can expect approximately $445 in sales if it spends $150 in advertising.