In working for a local retail store you have developed the e

In working for a local retail store, you have developed the estimated regression equation shown below, where y is the weekly sales in dollars, x_1 is the percent local unemployment rate, x_2 is the weekly average high temperature in degrees Fahrenheit, x_3 is the number of activities in the local community, x_4 is the average gasoline price. Complete parts a and b. Interpret the value of b_2. Select the correct choice below and fill in the answer box to complete your choice.

Solution

Here the value of b2 represents how the per unit change in percent employment rate , weekly high temperature,number of activities and gasoline price will effect weekly sales in dollars.

A) avg weekly sales will decrease by 95   ( coefficient of x3)

B) avg weekly sales will decrease by -813 ( (-1)*coefficient of x2)

C)avg weekly sales will increase by -95   ( (-1)*coefficient of x3)

D)avg weekly sales will increase by 813 ( coefficient of x2)