In a company introducing a new product on the market it was decided to build a model explaining the dependence of the sales volume Y (in thousands of units) on the tested price of the product X_1 (in PLN) and expenditure on promotion and advertising of the product X_2 (in thousands of PLN). Based on the data given in the table below

Linear Algebra: A Modern Introduction
4th Edition
ISBN:9781285463247
Author:David Poole
Publisher:David Poole
Chapter4: Eigenvalues And Eigenvectors
Section4.6: Applications And The Perron-frobenius Theorem
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In a company introducing a new product on the market it was decided to build a model explaining
the dependence of the sales volume Y (in thousands of units) on the tested price of the product X_1
(in PLN) and expenditure on promotion and advertising of the product X_2 (in thousands of PLN).
Based on the data given in the table below
Xt2
20
X+1
Yt
15
16
20
19
30
22
31
23
35
25
30
correlation coefficients between variables were calculated and obtained
[-0, 98
0,86.
Ro
= - vector of correlation coefficients of the endogenous variable with potential explanatory variables,
1
-0,9
- matrix of correlation coefficients between pairs of potential explanatory variables.
R=
-0,9
Find:
(e) Interpret the results obtained
Use Excel or MatLab or other.
987 655
Transcribed Image Text:In a company introducing a new product on the market it was decided to build a model explaining the dependence of the sales volume Y (in thousands of units) on the tested price of the product X_1 (in PLN) and expenditure on promotion and advertising of the product X_2 (in thousands of PLN). Based on the data given in the table below Xt2 20 X+1 Yt 15 16 20 19 30 22 31 23 35 25 30 correlation coefficients between variables were calculated and obtained [-0, 98 0,86. Ro = - vector of correlation coefficients of the endogenous variable with potential explanatory variables, 1 -0,9 - matrix of correlation coefficients between pairs of potential explanatory variables. R= -0,9 Find: (e) Interpret the results obtained Use Excel or MatLab or other. 987 655
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