Westonci.ca offers quick and accurate answers to your questions. Join our community and get the insights you need today. Experience the ease of finding reliable answers to your questions from a vast community of knowledgeable experts. Our platform provides a seamless experience for finding reliable answers from a network of experienced professionals.
Sagot :
Answer:
The predicted value of sales is $75,037,500.
Explanation:
Given:
Q = 875 + 6XA + 15Y - 5P ……………………..(1)
Where:
Q = quantity sold = ?
XA = Advertising = $100,000
Y = Income = $10,000
P = Price = $100
Substituting the values into equation (1), we have:
Q = 875 + (6 * 100,000) + (15 * 10,000) - (5 * 100)
Q = 750,375
Therefore, we have:
Predicted value of sales = Q * P = 750,375 * $100 = $75,037,500
Therefore, the predicted value of sales is $75,037,500.
From the fitted regression, the predicted value of sales will be 1125.
The estimated demand function is given as:
Q = 875 + 6XA + 15Y − 5P
The explanatory variables will be:
Advertising = $100,000 = 100
Income = $10,000 = 10
Price = $100
The values will be put in the estimated equation and this will be:
Q = 875 + 6XA + 15Y − 5P
Q = 875 + (6 × 100) + (15 × 10) - (5 × 100)
Q = 875 + 600 + 150 - 500
Q = 1125
Learn more about demand on:
https://brainly.com/question/1245771
Thank you for trusting us with your questions. We're here to help you find accurate answers quickly and efficiently. Thank you for choosing our platform. We're dedicated to providing the best answers for all your questions. Visit us again. Westonci.ca is here to provide the answers you seek. Return often for more expert solutions.
