Appendix problem 2 (p. 218).
a) Estimate the regression in Problem 5 based on Table 5-6 using Excel's regression function in the Data Analysis menu.
b) Using the coefficients found in the regression estimate, enter a formula based in cells C6 through J6 to forecast the sales when quality control goes from $2 million to $9 million a year.
c) Graph both the actual data and the forecast using the graphing tools. Does the forecast vary much from the actual data?
1. For appendix problem 2, use the table under the problem on page 218, not Table 5-6, for the regression analysis. Enter the data in columns like table 5-11.
Requires Textbook:
• Froeb, L. M., McCann, B. T., Ward, M. R., & Shor, M. (2016). Managerial economics: A problem solving approach (4th ed.). Boston, MA: Cengage Learning. ISBN: 9781305259331.
• Salvatore, D. (2015). Managerial economics in a global economy (8th ed.). New York, NY: Oxford University Press. ISBN: 9780199397129.
Attachment:- CR-2-Reference.rar