Question #39
Reading: Reading 1 Multiple Regression
PDF File: Reading 1 Multiple Regression.pdf
Page: 17
Status: Unattempted
Part of Context Group: Q39-40
First in Group
Shared Context
Question
Assuming that next year's marketing expenditures are $3,500,000 and there are five salespeople, predicted sales for Mega Flowers should will be:
Answer Choices:
A. $11,600,000
B. $24,000,000
Explanation
Using the information provided, expected sales equals 12.6 + (1.6 x 3.5) + (1.2 x 5) = $24.2
million. Remember to check the details - i.e. this equation is denominated in millions of
dollars.