A manufacturer of copying machines wishes to predict the number of copiers sold

Question

A manufacturer of copying machines wishes to predict the number of copiers sold per week based on previous sales in each of three regions: Region A, Region B, and Region C. How many dummy variables should be used to represent the qualitative variable - sales region.

Suppose a regression model was fit to n=25 data points with the following results

                         ? = 62 - 4X1 + 11X2   MSR=275   MSE=50

The hypothesis to test whether these is a difference in sales among the regions is ?????

The value of the F test statistic to conduct the hypothesis test from Question 21, to two decimal places, is ????????

The critical value of F for alpha=0.05, drawn from the table is,?????????????

Your decision for the hypothesis test to determine whether there is a difference in sales among the regions is ____________H0.?????

Using the regression equation above we may calculate the mean number of copiers sold in each region. These mean values are??????

Explanation / Answer

F = MSR?MSE = 275/50 = 5.25

Here the critical value of F for alpha = 0.05 is

Fcritical = F(2, 22) = 3.4433

Your decision for the hypothesis test to determine whether there is a difference in sales among the regions is, reject H0.

These mean values for each region are

Region A = 62 - 4 * 1 = 58

Region B = 62 + 11 * 1 = 73

Region C = 62

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