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Question: The Skelton Manufacturing Company recently did a study of its customers. A random sample of 50 customer accounts was pulled from the computer records. Two variables were observed: y = Total doll volume of business this year x = Miles customer is from corporate head-quarters The following statistics were computed:
y^ = 2,140.23 - 10.12x
Sb1 = 3.12
a. Interpret the regression slope coefficient.
b. Using a significance level of 0.01, test to determine whether it is true that the farther a customer is from the corporate headquarters, the smaller the total dollar volume of business.
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