Question 3 The following extract is taken from the sales budget for UHertz Plc: Sales activity 50% 70% Budgeted Production units ￡188,000 E263,200 What is the production budget for a sales activity level of 85% Select the correct answer from the options below E319,600 ￡456,500 E287,400 ￡235.900 4 pts

## Step 1:To solve this problem, we need to perform simple linear regression/memory rule from analysis to ascertain the relation between "Sales activity" and "Budgeted Production units."## Step 2:By learning the example problem above, we assume is the linear equation where- represents the Budgeted Production units,- represents the Sales activity, - "m" is the slope of the line, and- "b" the y-dependent. ## Step 3:Because y equals the sales process, historically, y will increase (or decrease) based on its movement with "x" (production units), observable in this formula:### \( m = \frac{(y_2-y_1)}{(x_2-x_1)} \)For the given values:- at - at Inserting these values, we solve for "m". ## Step 4:Substitute the resultant "m", , and in### to find the y-intercept, "b".## Step 5:Now we substitute the resultantly found "m" and "b" in ### where to ultimately calculate the last "y".Once all steps are properly done, confirm the outcomes.