Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Consider a regression to explain Quarterly Sales using Year and only two seasonal dummy variables D.spring and D.summer. The corresponding regression equation for the sample
Consider a regression to explain Quarterly Sales using Year and only two seasonal dummy variables D.spring and D.summer. The corresponding regression equation for the sample model is Quarterly Sales= -4,000,256.612+1,108.833*SpringDummy- 2,941.100*SummerDummy+2,018.612*Year Which of the following statements about forecasts values obtained from this regression is true? O The forecast value for the first quarter of 2001 is greater than the forecast value for the second quarter of 2001. O The forecast value for the first quarter of 2001 is equal to the forecast value for the second quarter of 2001. O The forecast value for the first quarter of 2001 is smaller than the forecast value for the second quarter of 2001. O None of the above.Compare the model in Question 1 with the model in Question 2 with the objective of choosing the model which is better to give you a forecast of Quarterly Sales for the rst quarter of 2001- In doing that comparison, which of the following statements is true? 0 The model from Question 2 is better because the forecast is larger. 0 The model from Question 2 is better because all the independent variables are statistically signicant. 0 The model from Question 1 is better because it has a smaller standard error of forecast. O The model from Question 1 is better because it has a larger Adjusted R-squared. Run a regression with Quarterly Sales as the dependent variable, and with Observation and three dummy variables you created as the independent variables {total of four independent variables]. According to this regression's forecast. how condent can you be that the sales in the rst quarter of Year 2001 will be at least 35.000? 0 less than 63% condent 0 about 95% condent 0 more than 919% condent
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started