Hope Hernandez,Marketing Manager of People's Pharmacy,Inc

Multiple Choice

Hope Hernandez,Marketing Manager of People's Pharmacy,Inc. ,wants a regression model to predict sales in the greeting card department.Her data set includes two qualitative variables: the pharmacy neighbourhood (urban,suburban,and rural) ,and lighting level in the greeting card department (soft,medium,and bright) .The number of dummy variables needed for "lighting level" in Hope's regression model is ___.

A) 1
B) 2
C) 3
D) 4
E) 5