A manufacturer of computer workstations gathered average monthly sales figures from its 56 branch…


A manufacturer of computer workstations collected middle monthly sales figures from its 56 limb offices and dealerships across the state and estimated the aftercited insist for its product:

Q = 15,000 - 2.8 P + 150 A + 0.3 Ppc + 0.35 Pm + 0.2 Pc

(4234) (1.29) (175) (0.12) (0.17) (0.13)

R^2 = 0.68 F= 21.25

The unsteadys and their estimated computes are:

Q = Quantity

P = Expense of the basket = $7000

A = Advertising expenditures = $52000

Ppc = Middle expense of identical computer = $4000

Pm = Middle expense of minicomputer = $15,000

Pc = Middle expense of a necessary competitor's workstation = $8,000

( ) the enumerate in brackets is the touchstone fault of class SEE

The t-touchstone is = coefficient of unsteady/SEE

a. Compute the elasticity of each unsteady.

b. What would betide to Quantity if expense (P) increased by $500

c. What would betide to Quantity if middle expense of identical computer decreases by $1000.

d. Conduct a t-touchstone for the statistical reason of each unsteady. Which ones are suggestive at 5% raze of reason.

e. What does the compute of R^2 balance for this touchstone.