Regression Analysis
Part 1 – Two-sample t-test of equality of means
Given the data on radio and newspaper adverts do you think that one form of advertising is more effective than the other? In order to support your answer produce various statistical outputs such as descriptive statistics, graphical summaries, boxplots and perform a t-test for equality of means. Explain and discuss the output and analysis and draw an appropriate conclusion.
Part 2 – Simple Regression Analysis
Based on a thorough analysis of the data provided do you think that there is evidence to support the company’s current patterns of spending? That is, do you think either radio or newspaper adverts have a sufficient impact on income to justify the expense? What recommendations would you give regarding future spending? Once again, support these recommendations with appropriate statistical outputs such as correlation coefficients, fitted line plots and regression output and perform appropriate hypothesis tests. Explain and discuss the output and analysis and give appropriate advice.