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1 1 . Barbara Lynch is the product manager for a line of skiwear produced by HeathCo Industries and privately branded for sale under several

11. Barbara Lynch is the product manager for a line of skiwear produced by HeathCo Industries and privately branded for sale under several different names, including Northern Slopes and Jacque Monri. A new part of Ms. Lynch's job is to provide a quarterly forecast of sales for the northern United States, a region composed of 27 states stretching from Maine to Washington. A 10-year sales history is shown:a. Because Ms. Lynch has so many other job responsibilities, she has hired you to help with the forecasting effort. First, she would like you to prepare a time-series plot of the data and to write her a memo indicating what the plot appears to show and whether it seems likely that a simple linear trend would be useful in preparing forecasts.SALES =a+b (TIME) Set TIME =1 for 2007 Q 1 through TIME =40 for 2016 Q 4. Write the trend equation: SALES =+1=(TIME)(Circle + or - as appropriate) c. Do your regression results indicate to you that there is a significant trend to the data? Explain why or why not. d. On the basis of your results, prepare a forecast for the four quarters of 2017. c. A year later, Barbara gives you a call and tells you that the actual sales for the four quarters of 2017 were: Q1=334,271. Q 2=328,982, Q 3=317,921, and Q 4=350,118. How accurate was your model? What was the mean absolute percentage error (MAPE)?

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