Question

have the following data that identifies the discount (as a percentage) that a customer is receiving on their transaction, as well as the profit generated from that transaction.

Transaction ID	Coupon Percentage	Profit ($)
1	10	121
2	10	110
3	10	109
4	20	110
5	20	92
6	20	80
7	25	70
8	25	87
9	25	90

Need answer to Which of the models below represents the linear regression model that predicts profit as a function of coupon percentage?

Profit= 134.10 – 2.05*(coupon percentage)

Profit = 49.11 – 0.32*(coupon percentage)

Profit = 121.64 – 5.02*(coupon percentage)

Profit = 7.93 – 0.13*(coupon percentage)

Answer 1

X	Y	XY	X^2	Y^2
10	121	1210	100	14641
10	110	1100	100	12100
10	109	1090	100	11881
20	110	2200	400	12100
20	92	1840	400	8464
20	80	1600	400	6400
25	70	1750	625	4900
25	87	2175	625	7569
25	90	2250	625	8100

From the above table and formula we get the value are as;

n	9
sum(XY)	15215.00
sum(X)	165.00
sum(Y)	869.00
sum(X^2)	3375.00
sum(Y^2)	86155.00

b	-2.0476
a	134.0952

Profit= 134.10 – 2.05*(coupon percentage)