SCENARIO 13-11 A Computer Software Developer Would Like to Use the Number

Multiple Choice

SCENARIO 13-11
A computer software developer would like to use the number of downloads (in thousands) for the trial
version of his new shareware to predict the amount of revenue (in thousands of dollars) he can make
on the full version of the new shareware.Following is the output from a simple linear regression
along with the residual plot and normal probability plot obtained from a data set of 30 different
sharewares that he has developed:
Simple Linear Regression 13-43
-Referring to Scenario 13-11, which of the following is the correct interpretation for the slope
Coefficient?

A) For each decrease of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands.
B) For each increase of 1 thousand downloads, the expected revenue is estimated to increase by $ 3.7297 thousands.
C) For each decrease of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands.
D) For each increase of 1 thousand dollars in expected revenue, the expected number of downloads is estimated to increase by 3.7297 thousands.