WHEN TO USE MULTIPLE LINEAR REGRESSION ANALYSIS?

To answer this question, we refer to a hypothetical Case Study. In the following example, the
study is on the sale of petrol at kiosks in Kuala Lumpur.

YOUR TASKS AS THE MARKETING MANAGER ARE SUMMARIZED AS

FOLLOWS:
1. Using Microsoft Excel, perform regression analysis from the data in the Table.
2. Develop the function in linear form of demand model for the petrol sale for the kiosks.
3. Test whether the coefficients of the variables used in the model are statistically significant.
4. Determine the percentage of the variation of output that is ‘explained’ by the regression
equation.
5. Based on the findings, what advise should the Manager propose to the top management to
increase the petrol sale at all kiosks in Kuala Lumpur?