A local golf ball manufacturer collects the following data relating sales to ave
ID: 3222644 • Letter: A
Question
A local golf ball manufacturer collects the following data relating sales to average temperature. You developed a regression model that expresses monthly sales (Y) as a function of average temperature during the month (X). Your calculation resulted in the following formula:
Monthly Sales = - 767.7 + 98.5*(Avg temp)
Month
Sales (Y)
Temp (X)
Mar-16
4670
52
Apr-16
5310
58
May-16
6320
69
Jun-16
7080
75
Jul-16
7210
83
Aug-16
7040
82
Sep-16
6590
78
Oct-16
5520
65
Nov-16
4640
54
Dec-16
4000
48
Jan-17
2840
41
Feb-17
3170
42
Using the regression forecasting model you developed, forecast the monthly golf ball sales in June and July 2017. Average temperature in June are expected to be 76 degrees, and average temperatures in July are expected to be 82 degrees.
Month
Sales (Y)
Temp (X)
Mar-16
4670
52
Apr-16
5310
58
May-16
6320
69
Jun-16
7080
75
Jul-16
7210
83
Aug-16
7040
82
Sep-16
6590
78
Oct-16
5520
65
Nov-16
4640
54
Dec-16
4000
48
Jan-17
2840
41
Feb-17
3170
42
Explanation / Answer
Regression equation is
Monthly sales = -767.7 + 98.5*(Avg Temp)
For June,
avg. temp = 76
Monthly sales = -767.7 + 98.5*76
Monthly Sales of June is expected to be 6718.3
For July,
avg. temp = 82
Monthly sales = -767.7 + 98.5*82
Monthly Sales of July is expected to be 7309.3
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.