Exhibit 15-2 A Regression Model Between Sales (Y in $1,000), Unit Price

Multiple Choice

Exhibit 15-2
A regression model between sales (Y in $1,000) , unit price (X₁ in dollars) and television advertisement (X₂ in dollars) resulted in the following function: For this model SSR = 3500, SSE = 1500, and the sample size is 18.
-Refer to Exhibit 15-2. The coefficient of the unit price indicates that if the unit price is

A) increased by $1 (holding advertising constant) , sales are expected to increase by $3
B) decreased by $1 (holding advertising constant) , sales are expected to decrease by $3
C) increased by $1 (holding advertising constant) , sales are expected to increase by $4,000
D) increased by $1 (holding advertising constant) , sales are expected to decrease by $3,000