Following Data Annual Disposable Income Total Annual Consumption 12 Families Selected Rand Q28098923

The following data are annual disposable income and total annualconsumption for 12 families selected at a random from a largemetropolitan area. Regard annual disposable income as theexplanatory variable and total annual consumption as the dependentvariable. From the regression of y onx, answer the questions that follow.

AnnualDisposable                                           Total Annual

    Income ($) (x)                                        Consumption($) ( y)

        INC                                                                    CONS

      16,000                                                                14,000

     30,000                                                                 24,545

     43,000                                                                 36,776

    70,000                                                                 63,254

     56,000                                                                 40,176

     50,000                                                                 49,548

     16,000                                                                 16,000

     26,000                                                                 22,386

     14,000                                                                 16,032

     12,000                                                                 12,000

     24,000                                                                 20,768

     30,000                                                                 34,780

Calculate the following:

a.1.        Slope ( b1)

2..        Y-Intercept(b0)

3         Cumulative Sum of Forecast Error (CFE)

4          MeanSquare Error (MSE)

5        StandardDeviation

What is the sample regression equation relating sales toadvertising?

If ADV increases by $ 1000, what would be the resulting changein your prediction of SALES?