The following table presents data on sales (S), advertising (A), and price (P):
a. Estimate the following demand models:
(i) S = α + β1A + β2P
(ii) S = αAβ1Pβ2
b. Determine whether the estimated values ofβ1andβ2are statistically significant (at the 0.05 level).
c. Based on the value of R2 and the F-ratio, which model gives the best fit?