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Mr. James McWhinney, President of Daniel-James Financial Services, believes there is a relationship between the number of client contacts and the dollar amount of sales. To document this assertion, Mr. McWhinney gathered the following sample information. The X column indicates the number of client contacts last month, and the Y column shows the value of sales ($ thousands) last month for each client sampled.
Number of Sales Number of Sales
Contacts, ($ thousands), Contacts, ($ thousands),
X Y X Y
14 24 23 30
12 14 48 90
20 28 50 85
16 30 55 120
46 80 50 110
a. Determine the regression equation.
b. Determine the estimated sales if 40 contacts are made.
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