NAME: 			
			
A company wants to analyze how advertising budget affects sales revenue. 			
They collect data from multiple regions and consider the following independent variables:			
1. TV Advertising Budget (in $1000s)			
2. Radio Advertising Budget (in $1000s)			
3. Social Media Advertising Budget (in $1000s)			
			
The dependent variable is the Sales Revenue (in $1000s).			
The goal is to build a multiple linear regression model to predict sales revenue based on these advertising budgets.			
			
TV Budget_X1	Radio Budget_X2	Social Media Budget_X3	Sales Revenue_Y
200	50	20	400
150	30	50	380
300	70	40	600
250	50	30	550
180	40	25	420
180	60	25	410
130	20	55	420
310	80	45	620
270	40	35	570
190	30	28	430
			
			
1) Calculate coefficients and write the equation:			
			
			
"2)Prediction:  For a TV budget of $250, radio budget of $60, and social media budget of $40."			
			
The predicted sales revenue would be: 			
			
			
			
3) Calculate R^2 to determine the proportion of variance in sales revenue explained by the model.			
			
			
4) How would you interpret the coefficient β1 for TV Budget?			
			
			
5) Test at the 5% significance level whether the regression coefficient β1 is statistically significant? 			
Why yes or why no?			
			
			
6) Test at the 5% significance level whether the regression coefficient β2 is statistically significant? 			
Why yes or why no?			
			
			
7) Test at the 5% significance level whether the regression coefficient β3 is statistically significant? 			
Why yes or why no?			
			
			
8) Is multicollinearity present? Calculate the correlation matrix.