Question: The marketing manager of a large supermarket chain would like to use shelf space to predict the sales of pet food. For a random sample of 12 similar stores, she gathered the following information regarding the shelf space, in feet, devoted to pet food & the weekly sales in hundreds of dollars. Use these data to answer questions 1 through 3.

Store |
1 |
2 |
3 |
4 |
5 |
6 |

Shelf Space |
5 |
5 |
5 |
10 |
10 |
10 |

Weekly Sales |
1.6 |
2.2 |
1.4 |
1.9 |
2.4 |
2.6 |

Store |
7 |
8 |
9 |
10 |
11 |
12 |

Shelf Space |
15 |
15 |
15 |
20 |
20 |
20 |

Weekly Sales |
2.3 |
2.7 |
2.8 |
2.6 |
2.9 |
3.1 |

[1.] Is the correlation between weekly sales & shelf space significant at the .01 level of significance?

[A] No, the sample correlation coefficient does not exceed the critical value.

[B] Yes, the p-value of the test for significance is less than .01.

[C] Yes, the value of the test statistic does not exceed the critical value.

[D] Yes, the computed t-test statistic is less than the critical value.

[2.] Find the estimated regression equation?

[A] ? = 2.63 + 0.724x

[B] ? = 1.45 + 0.724x

[C] ? = 1.45 + 0.074x

[D] ? = 2.63 - 0.174x

[3.] Calculate the value of the sample correlation coefficient between weekly sales & shelf space.

[A] 0.684

[B] 0.827

[C] 0.652

[D] 0.308

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