1. The managers of the Ada Hotel forecast the breakfast covers based on number of guest rooms. Following table presents the number of rooms sold and breakfast covers for the past year, 2017.
Room Guests Breakfast Covers
January 1,200 1,400
February 1,020 1,220
March 1,250 1,420
April 1,100 1,320
May 1,380 1,520
June 1,400 1,580
July 1,520 1,650
August 1,550 1,690
September 1,450 1,400
October 1,210 1,380
November 1,080 1,240
December 1,050 1,220
Required:
1. Determine the coefficient of correlation and coefficient of determination for the Ada Hotel based on the data presented above. Comment on the strength of the relationship between room guests and breakfast covers.
2. Determine a regression equation for forecasting breakfast covers based on the number of room guests.
3. If 1,620 room guests are forecasted for next January, how many breakfast customers are forecasted to be served?
Note: You need to use MS Excel’s regression function to answer these questions. Please attach your regression output (Summary Output) to your submission.