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Y9 St = 6781.58 (2305.16) + 321.46 Dt (201.03) where St is the monthly sales (in thousands of items) and D is a dummy variable,
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St = 6781.58 (2305.16) + 321.46 Dt (201.03) where St is the monthly sales (in thousands of items) and D is a dummy variable, taking the value 1 when t is a winter month. Shown in parentheses are the standard errors of the coefficient estimates. 4.1) 4.2) 4.3) How many items is the store expected to sell in February? (5%) What is the estimated sales level in spring? (10%) A colleague of yours claims that the seasonal effect captured by the regression model is pertinent to the 2008-2010 sample period and not a salient feature of the demand for pharmaceutical products. Do estimation results confidently support your colleague's claim? Tip: the critical value of the (two-sided) variable significance test for the above model is to.025;34 = 2.03. (10%)
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