Explore BrainMass
Share

Crusty The Clown' Cereal

This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

1. The sales of Crusty The Clown cereal since 2000 are:

Year Code Sales
($ millions)
2000 1 5
2001 2 7
2002 3 6
2003 4 10
2004 5 12

What is the sales forecast for 2005?

2. The owner of a car dealership wants to determine whether there is a relation between the income level and the type of vehicle purchased in their dealership. He randomly sampled 500 car buyers and obtained the following data:

Income Level SUV/Minivan Midsize Compact
up to $30K/yr 13 71 106
$30K-$60K 33 76 45
more than $60K/yr 66 59 31

At the .05 level of significance, determine whether there is a relation between the income level and the type of vehicle purchased. Show your work step by step.

© BrainMass Inc. brainmass.com March 21, 2019, 11:33 am ad1c9bdddf
https://brainmass.com/statistics/hypothesis-testing/statistical-hypothesis-testing-crusty-clown-cereal-45298

Solution Preview

** Please see the attached file for the complete solution response **

1.  The sales of Crusty the Clown cereal since 2000 are:
(please see the attached file)
What is the sales forecast for 2005?

Solution: Let's assume that there is some pattern in the sales (as from the data it seems that growth of sales with respect to years is not linearly related.

So, we go by some pattern like

2000 5
2001 7 (As 5, 7 follows 6.)
2002 6

Then we have
2003 10
2004 12 (similarly, 10, 12 follows 11.)
2005 11

Hence the sales forecast for year ...

Solution Summary

This solution provides a thorough walk-through of each problem listed.

$2.19