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The Board of Schmeckt Gut was interested in the demand for our energy bars in At

ID: 1227937 • Letter: T

Question

The Board of Schmeckt Gut was interested in the demand for our energy bars in Atollia. Therefore, the Board instructed the Research Department of Schmeckt Gut to conduct a survey in Atollia. The results of the survey are provided in Table 1.

Table 1 – Survey results for Atollia

Annual average demand of energy bars per person

Average income per person

Tariff rate on imports of energy bars

Number of stores where energy bars are offered

106

15500

5

15

90

15810

5

15

93

16395

5

15

92

16887

5

15

91

17495

5

15

110

18282

5

16

109

19013

5

16

122

19508

5

16

82

19898

10

16

84

20276

10

16

102

20702

10

17

92

21550

10

17

115

22197

10

20

112

22330

10

20

109

22754

10

20

148

23619

7.5

20

143

23855

7.5

20

139

24452

7.5

20

158

24941

7.5

23

142

25514

7.5

23

158

25948

7.5

23

1. Using the results of the survey provided by the Research Department, see Table 1, the Board would like you to investigate the demand for our energy bars in Atollia in more detail. More specifically the Board is interested what the impact of offering our products at another store might have on the demand. Hint A: You should make use of Microsoft Excel tools discussed in the Module End Learning Activities of Modules 1 to 3. Hint B: You should run a linear regression analysis to investigate the potential impact of offering our product at another store.

Annual average demand of energy bars per person

Average income per person

Tariff rate on imports of energy bars

Number of stores where energy bars are offered

106

15500

5

15

90

15810

5

15

93

16395

5

15

92

16887

5

15

91

17495

5

15

110

18282

5

16

109

19013

5

16

122

19508

5

16

82

19898

10

16

84

20276

10

16

102

20702

10

17

92

21550

10

17

115

22197

10

20

112

22330

10

20

109

22754

10

20

148

23619

7.5

20

143

23855

7.5

20

139

24452

7.5

20

158

24941

7.5

23

142

25514

7.5

23

158

25948

7.5

23

Explanation / Answer

Ans:

Annual average demand of energy bars per person Average income per person Tariff rate on imports of energy bars Number of stores where energy bars are offered 106 15500 5 15 90 15810 5 15 93 16395 5 15 92 16887 5 15 91 17495 5 15 110 18282 5 16 109 19013 5 16 122 19508 5 16 82 19898 10 16 84 20276 10 16 102 20702 10 17 92 21550 10 17 115 22197 10 20 112 22330 10 20 109 22754 10 20 148 23619 7.5 20 143 23855 7.5 20 139 24452 7.5 20 158 24941 7.5 23 142 25514 7.5 23 158 25948 7.5 23 SUMMARY OUTPUT Regression Statistics Multiple R 0.955932682 R Square 0.913807292 Adjusted R Square 0.898596814 Standard Error 7.81913539 Observations 21 ANOVA df SS MS F Significance F Regression 3 11019.2105 3673.070166 60.07749 2.95E-09 Residual 17 1039.36093 61.13887825 Total 20 12058.57143 Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Lower 95.0% Upper 95.0% Intercept -12.16021978 11.30761101 -1.075401318 0.297222 -36.0172 11.69675 -36.0172 11.69675 Average income per person 0.004837918 0.001815213 2.665206601 0.016316 0.001008 0.008668 0.001008 0.008668 Tariff rate on imports of energy bars -6.456977068 1.041615246 -6.199003994 9.71E-06 -8.65459 -4.25936 -8.65459 -4.25936 Number of stores where energy bars are offered 4.072444073 1.897801051 2.145875128 0.046614 0.068434 8.076454 0.068434 8.076454
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