IS‘24: Practicum Assignment 6

Practicum Assignment 6: Regressing Customers

For one final time, let us return to the Lamplighter Restaurant. Here, you need to answer the following research question that deals with estimating an expected value. This is different from past practicum activities because you also have the auxiliary information of the number of customers showing up. Because you are estimating a numeric variable using another numeric variable, you should use regression.

The Research Question

Given that we have 102 customers on a certain date, what will be the net profit for that day?

Collecting the Data

Again, use the Lamplighter data file that you have saved to your computer. Copy it from your Practicum folder and save it to your Practicum 6 folder.

Analyzing the Data

Use the data to correctly answer the research question. Note that you are asked to predict a future observation. Thus, you will need to include a prediction interval.

Interpreting the Results

Interpret your analysis. Note that this will require you to predict a net profit based on the number of customers showing up. Include an appropriate bivariate graphic. Make sure that you defend your choices (of analyses and of data). Spend a full, separate paragraph defending your decision on which data to use, even if you use all of it. Be explicit about what statistical procedures you ran and why you ran those procedures. Again, spend another full paragraph defending your choices of procedures. Your reader (me) should never have to guess about your analysis. If I have to guess, I will guess incorrectly.

Note that if you provide a point estimate, you will also need to provide an appropriate interval for that estimate. R will be very helpful there. Check the various Statistical Computing Activities to see how to obtain the prediction interval in linear regression.

Checklist

In additional to the general checklist (see the Overview), here is the particular checklist for this practicum activity.

Data analyzed appropriately, where decisions are explicit in the write-up
Statistics appropriately used to support conclusions
Appropriate graphic(s) provided
Appendix: All R Code is included in the appendix

Note

This is the final practicum activity. Use this practicum activity to show off all you have learned about writing this term! Here is the notes on Practicum Activity 6 that tells you what sections are needed and what needs to be in each section.

Introductory Statistics

IS: Business Practicum Assignment 6