Quantitative approaches to decision making questions.
02 w here the coa ) the rational Nivelaken the price at the coke cola havet h and of coke cota cy). He then collected 20 w ordt withe n ati v ert enditure (in million dollars) and the price of Che cosand o la in dollars) Anor unins the Rostrounion function in Microsoft Excel, she dorivon the following ODOS RU Auto Squa ON 2004 One ANOVA on conce 3 OSOB 24.53531 5.40787 0.0092117 72 507 457129 1462 Upper Lower Lower 9596 05. 0 Upper 05.06 oncept 7.00 82 03052 2 07 62.03061 35 222068 35.222088 Price of Pepsi Cola 03035 0.1711745 -1.77307 0.02525 -0.6663779 0.00380380 0.0503604 0.6683779 Ad Expenditure 0.342937 0.1655832 2 07102 0.04489 -0.0080947 0.6930678 0.0080947 0.693967798 oko Price 0. 2400 011393506 1579653 0.11264 -0.051349305294699 0.0613493 0529466871 a. Use the above outputs to estimate the linear regression model b. Interpret each of the estimated regression coefficients BO, B1, B2 and B3 c. Identify and interpret the coefficient of determination d. Test the significance of the regression coefficient at the 5% level (state the null and alternative hypothesis, the value of your test statistic, the p-value or the decision rule, and your conclusion). e. Assume that the price of Pepsi Cola is 2, the Ad Expenditure is 10 and the Coke price is 3. Calculate the forecasted value of the demand of Coke Cola 03: 6 marks: Consulting income ate Walsh cates for the been for MONTH January February INCOME (April May June July August September October November December Develop a 3-month moving average to forecast sales Use exponential smoothing method with 0.2 m Assume that the initial forecast for January Using MSE, which the constanterovides a better use the better method you decided in partc to estima next year Expone month income Moving For Error Average Squared othing constant to forecast income a better forecast ? Explain estimate the income for January in the Error Error Squared Error Exponential Smoothing ( 02) 17 February March April May June July 15 August 20 September 22 October 19 ovember 21 Ecember 19 02 w here the coa ) the rational Nivelaken the price at the coke cola havet h and of coke cota cy). He then collected 20 w ordt withe n ati v ert enditure (in million dollars) and the price of Che cosand o la in dollars) Anor unins the Rostrounion function in Microsoft Excel, she dorivon the following ODOS RU Auto Squa ON 2004 One ANOVA on conce 3 OSOB 24.53531 5.40787 0.0092117 72 507 457129 1462 Upper Lower Lower 9596 05. 0 Upper 05.06 oncept 7.00 82 03052 2 07 62.03061 35 222068 35.222088 Price of Pepsi Cola 03035 0.1711745 -1.77307 0.02525 -0.6663779 0.00380380 0.0503604 0.6683779 Ad Expenditure 0.342937 0.1655832 2 07102 0.04489 -0.0080947 0.6930678 0.0080947 0.693967798 oko Price 0. 2400 011393506 1579653 0.11264 -0.051349305294699 0.0613493 0529466871 a. Use the above outputs to estimate the linear regression model b. Interpret each of the estimated regression coefficients BO, B1, B2 and B3 c. Identify and interpret the coefficient of determination d. Test the significance of the regression coefficient at the 5% level (state the null and alternative hypothesis, the value of your test statistic, the p-value or the decision rule, and your conclusion). e. Assume that the price of Pepsi Cola is 2, the Ad Expenditure is 10 and the Coke price is 3. Calculate the forecasted value of the demand of Coke Cola 03: 6 marks: Consulting income ate Walsh cates for the been for MONTH January February INCOME (April May June July August September October November December Develop a 3-month moving average to forecast sales Use exponential smoothing method with 0.2 m Assume that the initial forecast for January Using MSE, which the constanterovides a better use the better method you decided in partc to estima next year Expone month income Moving For Error Average Squared othing constant to forecast income a better forecast ? Explain estimate the income for January in the Error Error Squared Error Exponential Smoothing ( 02) 17 February March April May June July 15 August 20 September 22 October 19 ovember 21 Ecember 19
