A Multiple Regression Analysis Based on a Data Set That

Multiple Choice

A multiple regression analysis based on a data set that consists of 30 observations yielded the following estimated demand equation:
Q = 120 - 1.1P + 0.04I + 0.90A
Where P is price, I is income, and A is advertising. If price is equal to $1,000, income is equal to $20,000, and advertising expenditures are equal to $5,000, then the predicted quantity demanded (Q) is

A) 6,520.
B) 4,320.
C) 8,015.
D) None of these answers is correct.