STATISTICS 1. a.The frequency distribution of the 50 orders is as illustrated in the table below. Cumulative LowerUpper Frequenc y Midpoin tPercent Frequen cy Percen t 1001493124.56%30.1 15019915174.530%1836% 20024914224.528%3264% 2502996274.512%3876% 3003494324.58%4284% 3503993374.56%4590% 4004493424.56%4896% 4504992474.54%50100% 50 b.The histogram is as illustrated below. 100150200250300350400450 0% 5% 10% 15% 20% 25% 30% 35% Histogram Bin percentage The histogram indicates that the data are positively skewed since there is a relatively longer tail to the right. The chart shows that the class with the highest frequency is between 150 and 199. c.
STATISTICS Since the data are skewed, the best measure of central tendency will be the median. This is mainly because this measure is not affected by the skewed data or presence of outliers in the dataset. 2. a.A complete ANOVA table and the coefficient summary table is as illustrated below. ANOVA dfSSMSSFF p-value Regressio n15048.8185048.81874.136852983.79E-11 Residual463132.66168.10133 Total478181.479 Coefficient s Standar d Error t (df = 46)p-value Interce pt80.3903.102 25.9155 44.36E-29 X-2.1370.248 - 8.616943.71E-11 The table indicates that there is sufficient evidence that there is a significant association between demand and unit price (t (46) = -8.6169, p-value < .05). b. Coefficient of determination = r-squared = SSR/SST = 5048.818/8181.479 = 0.617103338 This value suggests that the model between demand and price could take into account 61.71% of the variation. That is, only 38.29% of variation was not taken into account. c. R-value =√coeffofdetermination
STATISTICS =√0.617103338 = 0.785559 The results show that there is a strong negative association between the demand and the price. This correlation means that as the price of the product increases, the demand reduces. 3. A complete ANOVA table is as illustrated below. Source of Variation Sum of Squares Degrees of Freedom Mean SquareFP-value Between Treatments390.583130.193316.438551.27E-05 Within Treatments (Error)158.4207.92 Total548.9823 The results show that there is enough evidence to conclude that at least one of the treatment has a different average (F (3, 20) = 16.43855, p-value < .05)(Draper & Smith, 2014). 4. a. The multiple regression is: y = 0.8051 + 0.4977x1 + 0.4733x2 b. The complete ANOVA table for the output is as illustrated below. ANOVA Sources of errordfSSMSFP-value Regression240.720.3580.11811020.0006 Residual41.0160.254 Total6
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STATISTICS The results show that there is sufficient evidence to conclude that there is a significant association between the dependent and independent variables (F (2, 4) = 80.1181, p- value< .05). c. The coefficient summary table is displayed below. CoefficientsStandard Errort-value (df = 4)p-value Intercept0.8051 x10.49770.46171.07797273.42E-01 x20.47330.038712.2299742.57E-04 The p-value for both x1 and x2 and less than .05. Therefore, we can conclude that β1 and β2 are significantly different from zero(Draper & Smith, 2014). d. As earlier indicated the model is y = 0.8051 + 0.4977x1 + 0.4733x2. Thus, the coefficient for x2 is 0.4733. This means that when there is an increase in one advertising spot, the number of mobile phones sold per day is expected to increase by 0.4733 units. e. In this case, we are supposed to use the multiple regression model to predict the number of mobile phones sold per day, when the price is $20,000 and there are 10 slots. y = 0.8051 + 0.4977x1 + 0.4733x2 when x1 = $20,000 and x2 = 10 y = 0.8051 + 0.4977(20000) + 0.4733x2(10) = 0.8051 + 9954 + $4.733 = 9959.5381
STATISTICS This means that approximately 9959.5381 mobile phones will be sold per day.
STATISTICS References Draper, N. R., & Smith, H. (2014).Applied regression analysis(Vol. 326). John Wiley & Sons.