Nelson Industries manufactures a part for a type of aircraft engine that is becoming obsolete. The sales

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Nelson Industries manufactures a part for a type of aircraft engine that is becoming obsolete. The sales history for the last 10 years is as follows:

Year

Dec-08

Dec-09

Dec-10

Dec-11

Dec-12

Dec-13

Dec-14

Dec-15

Dec-16

Dec-17

Sales

945

875

760

690

545

420

305

285

250

210

Time

1

2

3

4

5

6

7

8

9

10


a). Plot sales versus time.

b). Estimate the regression model for a linear time trend of sales.

c). What is the mean absolute percent error of the linear regression estimates for these 10 years?

d). Using this model, estimate sales for year 11.

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Forecasting And Predictive Analytics With Forecast X

ISBN: 1860

7th Edition

Authors: J. Holton Wilson, Barry Keating

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