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What is the interpretation of the value

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Question - Regression analysis is used to predict total revenues (y) (in dollars) by using advertising expenses (x) (in dollars) as the independent variable. The following is the equation: y = $1,000 + $10x. What is the interpretation of the value of 10?

A. For each additional dollar of advertising expense, total revenues should increase by $10.

B. The variance of the coefficient b.

C. No interpretation can be made.

D. It is the predicted value when advertising expense is zero.

Reference no: EM133017476

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