Your company asked you to analyze the investment of their advertising campaign. You create a scatterplot graph of the advertising dollars spent on advertising, x, and compare it to the revenue generated, y, for January to December of the campaign. You find the equation of the trend line to be y = 2.53x + 43. Predict the revenue generated if your company invests $200.00 in advertising. Write the revenue in dollars and cents

Answer 1

To predict the revenue generated if the company invests $200.00 in advertising, we plug 200 into the equation for x:

y = 2.53(200) + 43
y = 506 + 43
y = $549.00

Therefore, if the company invests $200.00 in advertising, we predict they will generate $549.00 in revenue.