must be done in excel and must show work
A golf club manufacturer is trying to determine how the price of a set of clubs affects the demand for clubs. attachment contains the price of a set of clubs and the monthly sales.
a. Assume the only factor influencing monthly sales is price. Fit the following three curves to these data: linear (Y = a + bX), exponential (Y = abX), and multiplicative (Y = aXb). Which equation fits the data best?
b. Interpret your best-fitting equation.
c. Using the best-fitting equation, predict sales during a month in which the price is $470.
Data
Price | Demand | |
$400 | 20,000 | |
$420 | 19,000 | |
$440 | 17,000 | |
$460 | 1 | 6,000 |
$500 | 14,000 | |
$380 | 22,000 | |
$290 | 31,000 | |
$340 | 26,000 | |
$220 | 41,000 | |
$700 |
This is fictitious data.