Question

A university believes that the number of new students enrolling for the fall semester is dependent on the amount of money spent in marketing the university the previous year. The following data were collected:

a. Determine the regression equation for enrollments based on marketing.

b. If the university wants to predict 2016 new student enrollment in the fall, how much money should it spend on marketing? Explain why or why not you would use these data to make the prediction.

Year	New Students in Fall	Marketing Dollars Spent in Previous Year
2015	12000	$2.0 M
2014	11750	2.3 M
2013	12250	2.3 M
2012	11800	1.9 M
2011	11600	1.9 M
2010	11600	1.95 M

Answer 1

a)

Year	new students in fall(Y)	Dollars(X)
2010	11600	1.95
2011	11600	1.9
2012	11800	1.9
2013	12250	2.3
2014	11750	2.3
2015	12000	2
	mean(Y)	mean(X)
	11833.33333	2.058333333
	r	sx	sy		byx
	0.574580239	0.174204541	230.337916		0.000434555
	Regression equation for enrollment based on marketing:
	y=11833.33+0.0004345(x-2.0583333)
	y=11833.33244+0.0004345x

Regression equation of y on x is given by: y=mean(y)+r*sx/sy(x-mean(x))

b)the University cannot predict no. of students in 2016 because marketing information is not given for the year.