Economics · Data Presentation and Graphs
A company is preparing a line graph to illustrate the relationship between its monthly advertising expenditure (cause/independent variable) and its resulting sales revenue (effect/dependent variable). How should these variables be plotted on the axes?
- 1Both values should be shown on the y-axis
- 2Both values should be shown on the x-axis
- 3Sales revenue on the x-axis and cost of advertising on the y-axis
- 4Cost of advertising on the x-axis and sales revenue on the y-axis✓
Correct answer
Cost of advertising on the x-axis and sales revenue on the y-axis
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