Question

You work for a company in the marketing department. Your manager has tasked you with forecasting sales by month for the next year. You notice that over the past 12 months sales have consistently gone up in a linear fashion, so you decide to find a regression equation for the company's sales history. You find that the regression equation for the data is (sales) = 25.614*(time) + 5.499. Interpret the slope.
a. When sales increases by 1 unit, time increases by 5.499 months.
b. We are not given the dataset, so we cannot make an interpretation.
c. When sales increases by 1 unit, time increases by 25.614 months.
d. When time increases by 1 month, sales increases by 5.499 units.
e. When time increases by 1 month, sales increases by 25.614 units.

Answer 1

It’s A. when sales increases by 1 unit,