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GSB 420 The following data on the Dow Jones Industrial Average (DJIA), and share prices of IBM, HOG (=Harley Davidson), and BUD (=Budweiser) are obtained

GSB 420 The following data on the Dow Jones Industrial Average (DJIA), and share prices of IBM, HOG (=Harley Davidson), and BUD (=Budweiser) are obtained from the http://finance.yahoo.com website for the February 2 - 13, 2015 period. DJIA and Share Prices of IBM, HOG, and BUD Date DJIA IBM HOG BUD 2-Feb-15 17,361.04 154.66 61.68 123.2 3-Feb-15 17,666.40 158.47 63.49 125.55 4-Feb-15 17,673.02 156.96 62.76 123.66 5-Feb-15 17,884.88 157.91 63.14 124.19 6-Feb-15 17,824.29 156.72 64.21 121.29 9-Feb-15 17,729.21 155.75 63.79 120.39 10-Feb-15 17,868.76 158.56 63.81 121.93 11-Feb-15 17,862.14 158.2 62.76 121.23 12-Feb-15 17,972.38 158.52 63.08 122.52 13-Feb-15 18,019.35 160.4 63.9 121.72 In order to identify the best simple regression equation that will explain the movement of DJIA, you are to estimate the 3 simple regression equations via Excel, based on the above data. 1. Provide the 3 estimated simple regression equations with their respective R-squared and adjusted R-squared values. Do not submit the Excel output. 2. Using a 5% significance level, identify the significant independent variable in each of the 3 equations if any. 3. Choose the equation that you would use and justify your choice

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