1. Business
  2. Operations Management
  3. question 4 the manager of a seafood restaurant was asked...

Question: question 4 the manager of a seafood restaurant was asked...

Question details

QUESTION 4

  1. The manager of a seafood restaurant was asked to establish a pricing policy on lobster dinners. The manager intends to use the pricing $/LB to predict the lobster sales on each day. The pertinent historical data are collected as shown in the table. Anaswer the following questions.

    Day

    Lobster Sold/day

    Price ($/lb.)

    1

    188

    7.9

    2

    155

    5.8

    3

    177

    7.9

    4

    173

    7.9

    5

    170

    8.2

    6

    162

    6.5

    7

    161

    7.3


    a) x = independent variable. According to this problem, the ∑x =  

    b) r is the coeefficient of correlation. Use the r equation to compute the value of the denominator part of the equation. The value for the r denominator =  (in 4 decimal places)

    c) According to this problem, the correlation of coefficient, r, between the two most pertinent variables is =  (in 4 decimal places).

    d) According to the instructor's lecture, the correlation strength between any two variables can be described as strong, weak, or no correlation. The correlation strength for this problem can be described as  correlation.

    e) According to the instructor's lecture, the correlation direction between any two variables can be described as direct or indirect relationship. The correlation direction for this problem can be described as  relationship.

    f) Regardless, you were told to use the Associative Forecasting method to predict the expected lobster sale. If the lobster price = $8.58, the expected #s of lobster sold =  (round to the next whole #).
Solution by an expert tutor
Blurred Solution
This question has been solved
Subscribe to see this solution