Question: A regional retailer would like to determine if the variation in average monthly store sales can, in part, be explained by the size of the store measured in square feet. A random sample of 21 stores was selected and the store size and average monthly sales were computed. The following results are shown
a. Develop a simple linear regression model to explain the variation in average monthly sales based on the size of the store.
b. Construct and interpret a 95% confidence interval estimate for the regression slope coefficient.
c. Provide a 90% confidence interval for the average value of monthly sales when xp = 15,000.
d. Provide a 90% prediction interval for a particular month's average sales when the store size is 15,000 square feet.