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Estimate the regression in Problem 5 based on the table right under problem on page 215, not Table 5-6, using Excel's regression function in the Data Analysis menu (included).

b) Using coefficients found in the regression estimate, enter a formula based in cells C6 through J6 to forecast the sales revenue when quality control goes from $2 million to $9 million in a year.

c) Graph both the actual data and the forecast using the graphing tool. Does the forecast vary much from the actual data?

Microeconomics, Economics

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