1)To what extent is there a change in the pattern or the power of the relationship...

1)To what extent is there a change in the pattern or the power of the relationship Pre- and Post- COVID-19 between the daily inventory holding cost (X) and the daily sales (Y)? Support your answer with the appropriate statistical evidences.

Expert Solution

Since I answered previous question, I think the data is same because you have not provided.

Pre-covid 19

Linear relationship is not good but sales increase with increase in cost

better

even better as R-sq increases

Best with 99.78% variability in Sales explained by Inventory Cost (X)

Now,

Post Covid =19 for same plot:

Linear is also meaningful here as it explains 77.45% variability but here, sales decrease with increase in cost

So, model/relationship has indeed changed

Please rate my answer and comment for doubt.

orchestra answered 3 years ago

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