Question

A company that relies on Internet-based advertising linked to key age demographics wants to understand the relationship between the amount it spends on this advertising and revenue (in S). Complete parts a through c below. a) Which variable is the explanatory or predictor variable? A. Since the company wants to predict advertising expenditure from revenue, the explanatory variable is revenue. O B Since the company wants to predict revenue rom advertising expenditure the e ana ory variable is evenue. ?C. Since he company wants o predic advertising expenditure rom revenue the explana or variable S dver ng expenditure. D. Since the company wants to predict revenue from advertising expenditure, the explanatory variable is advertising expenditure. b) Which variable is the response variable? A. Since the company wants to predict revenue from advertising expenditure, the response variable is advertising expenditure. B. Since the company wants to predict revenue from advertising expenditure, the response variable is revenue. ° C. Since the company wants to predict advertising expenditure from revenue, the response variable is revenue. 0 D. Since the company wants to predict advertising expenditure from revenue, the response variable is advertising expenditure. c) Which variable would you plot on the x-axis? OA. Since advertising expenditure is the response variable, it should be plotted on the x-axis. O B. Since revenue is the explanatory variable, it should be plotted on the x-axis. O C. Since advertising expenditure is the explanatory variable, it should be plotted on the x-axis. O D. Since revenue is the response variable, it should be plotted on the x-axis. Click to select your answer and then click Check Answer.

Answer 1

Answer:

a)D. Since the company wants to predict revenue from advertising expenditure, the explanatory variable is advertising expenditure.

b)B. Since the company wants to predict revenue from advertising expenditure, the response variable is revenue

c)C. Since advertising expenditure is the explanatory variable, it should be plotted on the x-axis.

Step-by-step explanation:

a) The explanatory  variable is the independent variable (the difference between explanatory an indepent is that independent means that it doesn´t depend of any variable at all and in the explanatory  variable we are not 100% sure)

In this case, the  company wants to know if the money they spend in advertising  is related to the company's revenue. So , in this case the  explanatory variablle is the money they spend in advetirsing  while the dependent variable is the revenue ( that will increase or decrease depending on the money spent)

b) The response variable ist he dependent variable so like it was explained in a) is  revenue.

c) In a cartesian graphic on the x axis we always draw the independent variable, so in this case we will draw the money spent in advertising.