With Microsoft Excel, use the data provided to estimate a log-linear demand function for alkaline batteries. Carefully

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Question:

With Microsoft Excel, use the data provided to estimate a log-linear demand function for alkaline batteries. Carefully respond to the following items/questions:

Chart: Excel Worksheet

Regression Analysis Data (Demand Function Estimation)

ln Q ln Price ln Income

1.07 1.15 4.4

1.07 1.09 4.39

1.08 0.97 4.4

1.08 1.04 4.39

1.09 0.92 4.39

1.08 0.96 4.39

1.1 0.77 4.39

1.1 0.79 4.39

1.08 1.06 4.39

1.07 1.13 4.39

1.08 0.96 4.4

1.08 1.02 4.39

1.09 0.82 4.39

1.07 1.1 4.39

1.09 0.9 4.39

1.1 0.77 4.39

1.09 0.91 4.4

1.08 1.07 4.4

1.09 0.88 4.39

1.07 1.16 4.39

1.08 1.08 4.4

1.08 1 4.39

1.09 0.88 4.39

1.07 1.13 4.4

1.07 1.09 4.39

1.11 0.64 4.39

1.09 0.9 4.39

1.07 1.19 4.4

1.06 1.27 4.39

1.08 0.94 4.39

1.07 1.1 4.4

1.13 0.28 4.39

1.08 0.97 4.4

1.09 0.86 4.4

1.07 1.13 4.39

1.08 1.03 4.39

1.08 0.96 4.39

1.08 0.95 4.4

1.07 1.12 4.4

1.1 0.7 4.4

1.08 0.99 4.39

1.08 0.98 4.39

1.08 1.07 4.4

1.07 1.1 4.4

1.07 1.21 4.39

1.09 0.93 4.39

1.08 1.04 4.4

1.09 0.9 4.39

1.08 0.97 4.39

1. (Excel Worksheet Above). With Microsoft Excel, use the data provided to estimate a log-linear demand function for alkaline batteries. Carefully respond to the following items/questions:

a. Provide/upload the Excel Worksheet of your estimated demand function as an Excel document.

b. With the Excel Worksheet (printout):

i. Write the estimated log-linear demand function in 4 decimal points.

ii. Evaluate the overall statistical significance of the estimated demand function.

iii. Evaluate the statistical significance of each independent economic variable in the estimated demand function.

c. Derive the nonlinear (multiplicative) form of your estimated log-linear demand function in (a). Clearly show the steps and calculations in 4 decimal points.

d. With the derived nonlinear function in (c), estimate income elasticity of demand for alkaline batteries. Clearly show the steps and manual calculations in 4 decimal points.

e. With your derived nonlinear function in (c), calculate the quantity demanded (sales) of alkaline batteries at the unit price of $3.00 and average consumers' income of $80.92. Clearly show your steps and manual (hand and calculator) calculations in 4 decimal points.