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-Run a correlation analysis. Be sure to include all Five variables in your corre

ID: 3260571 • Letter: #

Question

-Run a correlation analysis. Be sure to include all Five variables in your correlation matrix and discuss your findings (your evaluation of the strength and direction of each IV with the DV).

-Run Multivariate regression models. And What is your final conclusion about the final regression model? That is, what do you tell your client?

-Based on your hypotheses test for the full model, what is your conclusion?

-Discuss whether you can continue with the regression model. If yes, find the Coefficient of Determination and discuss your findings. How much of the variation in the DV is explained by the regression model?

-Finally, is either regression model of practical value to the client? Defend your position.

Sales

X1

X2

X3

X4

Y

Territory

Rating

Adver

Accts

MktPoten

Sales

1

4.9

$2,583

75

$74,065

$3,670

2

5.1

$3,540

237

$58,117

$3,474

3

2.9

$2,950

132

$21,118

$2,295

4

3.4

$5,243

195

$68,521

$4,676

5

4.6

$7,747

198

$67,805

$6,126

6

5.2

$3,141

185

$37,807

$2,135

7

4.1

$7,141

296

$40,935

$5,032

8

2.3

$2,086

127

$35,602

$3,367

9

3.9

$8,846

288

$46,177

$6,519

10

2.8

$5,673

166

$42,053

$4,876

11

3.1

$2,762

116

$36,830

$2,468

12

4.2

$1,992

142

$33,613

$2,533

13

4.3

$1,972

89

$21,413

$2,408

14

4.2

$1,737

146

$20,417

$2,337

15

2.5

$10,694

308

$36,272

$5,668

16

3.6

$4,619

80

$23,093

$2,729

17

3.4

$7,748

201

$26,879

$3,289

18

5.6

$4,566

185

$39,572

$2,801

19

3.6

$6,023

249

$51,866

$3,264

20

3.1

$4,721

138

$48,750

$3,454

21

2.6

$3,861

55

$23,991

$1,741

22

3.4

$3,572

153

$25,695

$2,036

23

2.7

$2,846

101

$23,736

$1,578

24

2.8

$5,060

188

$34,314

$4,167

25

3.9

$3,552

89

$22,810

$2,800

Sales

X1

X2

X3

X4

Y

Territory

Rating

Adver

Accts

MktPoten

Sales

1

4.9

$2,583

75

$74,065

$3,670

2

5.1

$3,540

237

$58,117

$3,474

3

2.9

$2,950

132

$21,118

$2,295

4

3.4

$5,243

195

$68,521

$4,676

5

4.6

$7,747

198

$67,805

$6,126

6

5.2

$3,141

185

$37,807

$2,135

7

4.1

$7,141

296

$40,935

$5,032

8

2.3

$2,086

127

$35,602

$3,367

9

3.9

$8,846

288

$46,177

$6,519

10

2.8

$5,673

166

$42,053

$4,876

11

3.1

$2,762

116

$36,830

$2,468

12

4.2

$1,992

142

$33,613

$2,533

13

4.3

$1,972

89

$21,413

$2,408

14

4.2

$1,737

146

$20,417

$2,337

15

2.5

$10,694

308

$36,272

$5,668

16

3.6

$4,619

80

$23,093

$2,729

17

3.4

$7,748

201

$26,879

$3,289

18

5.6

$4,566

185

$39,572

$2,801

19

3.6

$6,023

249

$51,866

$3,264

20

3.1

$4,721

138

$48,750

$3,454

21

2.6

$3,861

55

$23,991

$1,741

22

3.4

$3,572

153

$25,695

$2,036

23

2.7

$2,846

101

$23,736

$1,578

24

2.8

$5,060

188

$34,314

$4,167

25

3.9

$3,552

89

$22,810

$2,800

Explanation / Answer

Correlation Matrix

Ratings have very very low correlation with Sales ,

Advertisement is the most corelatied ,

Accounts and Marketpotential are also significant

Territory is negatively correlated and its effect is low .

Regression

The model is significant as significance F = 0.000002 << 0.05

coefficient of determination = R-square = 0.7828

hence 78.28 % of variation is n the DV is explained by the regression model

Territory Rating Adver Accts MktPoten Sales Territory 1 Rating -0.35494801 1 Adver 0.014418468 -0.13988946 1 Accts -0.22012702 0.12074297 0.755035138 1 MktPoten -0.56500758 0.348384048 0.275600526 0.34051597 1 Sales -0.35585781 -0.001625342 0.791354172 0.694928953 0.585863015 1