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Construct multiple linear regression model with Period, AIP, DIFF, and ADV as independent variables. Formulate the equation and explain the output. Rank variables based on
- Construct multiple linear regression model with Period, AIP, DIFF, and ADV as independent variables. Formulate the equation and explain the output. Rank variables based on their degree of contribution to the model. Observe significant F, R-squared, and p-values and explain.
- Perform multiple linear regression analysis with Period, DIFF, and ADV as independent variables. Formulate the equation. Which variable is the most significant predictor of demand? Rank the independent variables based on their degree of contribution to the model. Observe significant F, R-squared, and p-values and explain.
10- Use the model obtained in parts 2 and make forecasts for the following months.
Period Price AIP ADV
Oct. 2021 $7.50 $7.25 $12.9
Nov. 2021 $7.75 $7.30 $13.5
Dec. 2021 $7.90 $7.75 $13.7
11- Provide a brief conclusion based on above analysis.
AIP Month/Yr. Aug. 2019 5.8 DIFF -0.3 0.25 0.6 0 Jan. 2020 6 6.3 5.7 5.85 5.8 5.75 5.85 5.65 6 6.1 6 6.1 6.2 ADV 5.3 6.75 7.25 7.3 7.2 6.5 6.75 6.89 5.8 5.5 6.5 6.25 7 6.9 11 5.75 6.1 6.8 PERIOD PRICE 6.1 2 5.75 3 5.7 4 5.7 5 5.6 6 5.6 7 5.6 8 6.3 9 6.4 10 6.2 5.9 12 5.9 13 5.7 14 15 5.75 16 5.8 17 5.7 18 5.8 19 5.7 20 5.8 21 5.8 22 5.75 23 5.7 24 5.55 25 5.6 26 5.65 27 5.7 28 5.75 29 5.8 30 5.3 31 5.4 32 5.7 33 5.9 34 35 36 0.25 0.2 0.15 -0.45 -0.75 -0.2 0.2 0.1 0.4 0.45 0.35 0.3 0.5 0.5 0.4 -0.05 -0.05 -0.1 0.2 0.1 0.5 0.6 -0.05 6.1 6.2 6.3 6.1 5.75 5.75 5.65 5.9 5.65 6.1 6.25 5.65 5.75 5.85 6.25 6.3 6.4 6.5 Jan. 2021 DEMAND 14.3 15.3 16.7 16.2 16.1 15.5 15.2 13.7 13.0 12.8 13.6 14.7 15.3 16.4 17.8 17.7 17.4 17.0 16.7 16.1 15.9 15.9 16.2 17.7 18.2 19.0 19.8 20.2 19.9 19.7 19.3 18.4 18.3 6.8 7.1 7 7.2 7.5 7.8 8.2 8.3 8.4 8.9 9.1 9.3 9.4 9.3 9.4 9.5 9.6 9.7 Jan. 2022 0.05 0.95 0.9 0.7 0.6 May-22 Jun-22 Jul-22 AIP Month/Yr. Aug. 2019 5.8 DIFF -0.3 0.25 0.6 0 Jan. 2020 6 6.3 5.7 5.85 5.8 5.75 5.85 5.65 6 6.1 6 6.1 6.2 ADV 5.3 6.75 7.25 7.3 7.2 6.5 6.75 6.89 5.8 5.5 6.5 6.25 7 6.9 11 5.75 6.1 6.8 PERIOD PRICE 6.1 2 5.75 3 5.7 4 5.7 5 5.6 6 5.6 7 5.6 8 6.3 9 6.4 10 6.2 5.9 12 5.9 13 5.7 14 15 5.75 16 5.8 17 5.7 18 5.8 19 5.7 20 5.8 21 5.8 22 5.75 23 5.7 24 5.55 25 5.6 26 5.65 27 5.7 28 5.75 29 5.8 30 5.3 31 5.4 32 5.7 33 5.9 34 35 36 0.25 0.2 0.15 -0.45 -0.75 -0.2 0.2 0.1 0.4 0.45 0.35 0.3 0.5 0.5 0.4 -0.05 -0.05 -0.1 0.2 0.1 0.5 0.6 -0.05 6.1 6.2 6.3 6.1 5.75 5.75 5.65 5.9 5.65 6.1 6.25 5.65 5.75 5.85 6.25 6.3 6.4 6.5 Jan. 2021 DEMAND 14.3 15.3 16.7 16.2 16.1 15.5 15.2 13.7 13.0 12.8 13.6 14.7 15.3 16.4 17.8 17.7 17.4 17.0 16.7 16.1 15.9 15.9 16.2 17.7 18.2 19.0 19.8 20.2 19.9 19.7 19.3 18.4 18.3 6.8 7.1 7 7.2 7.5 7.8 8.2 8.3 8.4 8.9 9.1 9.3 9.4 9.3 9.4 9.5 9.6 9.7 Jan. 2022 0.05 0.95 0.9 0.7 0.6 May-22 Jun-22 Jul-22
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