Question

The accompanying data show the number of people working and the sales for a small bookstore. The regression line is given below. The bookstore decides to have a gala event in an attempt to drum up business. They hire 98 employees for the day and bring in a total of $40,000. Complete parts a through d below.

Sales=8.431+0.879 Number of Salespeople Working

	Full data set
Number of Salespeople Working	Sales (in $1000's)
2	11
3	10
7	14
9	14
11	19
10	20
12	20
14	20
16	22
18	24
x=10.2	y=17.4
?SD(x)=5.20	?SD(y)=4.79 A) Find the regression line predicting Sales from Number of people working with the new poing added.

Answer 1

Step 1:

Let

x = Number of sales people working

y = Sales (in $1000's)

Given:

For the given data:

Regression line is given by:

= 10.2

= 17.4

s_x = 5.20

s_Y = 4.79

Step 2:

The following data is added:

x = 98, y = 40

To find The revised Regression line with the new addion:

With the value: x = 98, y = 40 added to the existing values, the revised values are calculated as follows:

Thus, we get the reregression line predicting Sales from Number of people working with the new added as: