# QA ASS 1

This preview shows pages 1–2. Sign up to view the full content.

Q3 : A large department store has collected the following monthly data on lost sales revenue due to theft and the number of security guard hours on duty: Lost Sales Revenue (\$000s) Total Security Guard hours Lost Sales Revenue (\$000s) Total Security Guard hours 1.0 600 1.8 950 1.4 630 2.1 1300 1.9 1000 2.3 1350 2.0 1200 (a) Determine the least squares regression equation from the results, and write it down. (b) Using the results of part (a), find the estimated lost sales revenues if the total number of security guard hours is 800. (c) What do the acronyms SST, SSR, and SSE stand for? How are these related to one another through a fundamental equation of the Least Squares methodology? Calculate the coefficient of determination through this equation using the values of these parameters provided to you in the computer printout of the results, and confirm that this is equal to the value of r 2 provided in the same results. (d) Using the information in (c) above, compute the coefficient of correlation. Is it positive or

This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### What students are saying

• As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

Kiran Temple University Fox School of Business ‘17, Course Hero Intern

• I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

Dana University of Pennsylvania ‘17, Course Hero Intern

• The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

Jill Tulane University ‘16, Course Hero Intern