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The following regression equation estimates the relationship between the number of cups of hot chocolate sold (H) and number of swimmers (N) at the beach: H=252.8-2.05N R2= 0.45.(2.06) (-3.05) (t values are shown in parentheses)
a) Explain or interpret the regression coefficient of N, the t-values, and the coefficient of determination of this equation.
b) How is it possible that more hot chocolate is sold when there are fewer people at the beach? Does this relationship suggest anything about the specification of the equation?
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