The following information for advertising and sales has been established over the past six months: Month Sales Revenue Advertising expenditure $’000 $’000 1 155 3 2 125 2.5 3 200 6 4 175 5.5 5 150 4.5 6 225 6.5 Using the high-low method which of the following is the correct equation for linking advertising and sales from the above data?
A、sales revenue = 62,500 + (25* advertising expenditure)
B、advertising expenditure = –2,500 + (0.04 * sales revenue)
C、sales revenue = 95,000 + (20 * advertising expenditure)
D、advertising expenditure = –4,750 + (0.05 * sales revenue)