A market researcher found a correlationbetween advertising budgets for fliers (a,in thousands of dollars) and sales (s, inthousands of dollars) at local stores of anational pharmacy chain. Linear regressionproduced the equation s = 25.4a + 4.5,with r = 0.57. A local pharmacy in thechain had sales of $875 000 with a flieradvertising budget of $50 000. The storemanager was concerned about theaccuracy of the model.a)The manager should not beconcerned because the modelpredicts this level of sales.b)The correlation coefficientindicates a moderate correlation,so variation should be expected.c)The correlation coefficientindicates a moderate correlation,so all predictions with the modelwill be inaccurate.d)The manager should be concerned between advertising budgets for fliers (a,in thousands of dollars) and sales (s, inthousands of dollars) at local stores of anational pharmacy chain. Linear regressionproduced the equation s = 25.4a + 4.5,with r = 0.57. A local pharmacy in thechain had sales of $875 000 with a flieradvertising budget of $50 000. The storemanager was concerned about theaccuracy of the model.a)The manager should not beconcerned because the modelpredicts this level of sales.b)The correlation coefficientindicates a moderate correlation,so variation should be expected.c)The correlation coefficientindicates a moderate correlation,so all predictions with the modelwill be inaccurate.d)The manager should be concernedabout the accuracy of the model.

Here given, s = 25.4(a) + 4.5 Here s = sales in thousand of dollars a = advertising budget for…

Answered: national pharmacy chain. Linear…

College Algebra

7th Edition

ISBN:9781305115545

Author:James Stewart, Lothar Redlin, Saleem Watson

Publisher:James Stewart, Lothar Redlin, Saleem Watson

Chapter1: Equations And Graphs

Section1.3: Lines

Problem 92E

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national pharmacy chain. Linear regression produced the equation s = 25.4a + 4.5, with r = 0.57. A local pharmacy in the chain had sales of $875 000 with a flier advertising budget of $50 000. The store manager was concerned about the accuracy of the model.