Finite Math and Applied Calculus (6th Edition)

Published by Brooks Cole
ISBN 10: 1133607705
ISBN 13: 978-1-13360-770-0

Chapter 1 - Section 1.4 - Linear Regression - Exercises - Page 103: 21b

Answer

The slope is $44$ (million dollars of income) per (billion dollars in sales). For every increase of a billion dollars of net sales, Amazon earns another ${{\$}} 44$ million in income.

Work Step by Step

The unit of slope in $y=mx+b$ is (unit of y) per (unit of x) Slope is calculated as (change in y)/(change in x). Here, $I=44S-220$ the slope is $44$ (million dollars of income) per (billion dollars in sales). So, for every increase of a billion dollars of net sales, Amazon earns another ${{\$}} 44$ million in income.
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