You are the Filipino analyst hired by the multinational company to study the sales data of its more than 75 stores worldwide. You used regression analysis between $ sales (y) and $ advertising (x1) and $ salary of sales representatives (x2) across all the branches. You obtained the following regression function : y = 6000 + 8.5x1-1.6x2 If the advertising budgets of one of the branches of the corporation is $12,000 and the salary of sales representatives is $2,500, then what will be the predicted sales? If the advertising budgets of one of the branches of the corporation is now $45,000 (which is 10% more than before) and the salary of sales representatives is now $8,500 (which is 20% less than before), then the predicted sales before in that branch is?
Correlation
Correlation defines a relationship between two independent variables. It tells the degree to which variables move in relation to each other. When two sets of data are related to each other, there is a correlation between them.
Linear Correlation
A correlation is used to determine the relationships between numerical and categorical variables. In other words, it is an indicator of how things are connected to one another. The correlation analysis is the study of how variables are related.
Regression Analysis
Regression analysis is a statistical method in which it estimates the relationship between a dependent variable and one or more independent variable. In simple terms dependent variable is called as outcome variable and independent variable is called as predictors. Regression analysis is one of the methods to find the trends in data. The independent variable used in Regression analysis is named Predictor variable. It offers data of an associated dependent variable regarding a particular outcome.
You are the Filipino analyst hired by the multinational company to study the sales data of its more than 75 stores worldwide. You used
If the advertising budgets of one of the branches of the corporation is $12,000 and the salary of sales representatives is $2,500, then what will be the predicted sales?
If the advertising budgets of one of the branches of the corporation is now $45,000 (which is 10% more than before) and the salary of sales representatives is now $8,500 (which is 20% less than before), then the predicted sales before in that branch is?
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