It was hypothesized that the number of bottles of an imported premium beer sold in city restaurants depends linearly on the average cost of meals in these restaurants. The following results were obtained for a sample of n =20 restaurants of approximately equal size:
X Mean= 30, Y Mean= 18.8, Variance(X)=412, Cov(x,y)=212
where:
y = Number of bottles of imported premium beer sold, and
x = Average cost, in dollars, of a meal.
A) Determine the sample regression line.
B) Interpret the slope of the sample regression line.
C) Is it possible to provide a meaningful interpretation of the intercept of the sample regression line? Explain.