Mathematics, 24.05.2021 14:00 isabellatagaban

We run linear regression for Revenue (as the response, in million $) and Sales- force(as the predictor) based on historical data in the previous 200 periods (weeks). The following is part of the summary output of this linear regression. Call:
lm(formula = Revenue ~ Salesforce, data = mydata)
Residuals:
Min 1Q Median 3Q Max
-8.3860 -1.9545 -0.1913 2.0671 7.2124

Coefficients:
Estimate Std. Error t value Pr(>|t|)
(Intercept) 7.00 0.88 15.36 <2e-16
Salesforce 0.10 0.06 17.6 70.025

Required:
a. What proportion of variation in the data set is explained by the linear regres-sion model?
b. Is the slope coeﬃcient significantly different from zero? How do you know? Ifyes, at what significance level?
c. Compute the 95% confidence intervals for the intercept and slope. Commentthe confident intervals.

Answers: 1

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We run linear regression for Revenue (as the response, in million $) and Sales- force(as the predict...

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