Question

Use regression analysis to fit a linear trend model to the data set.
a. What is the estimated regression function?
b. Interpret the R2 value for your model.
c. Prepare a line graph comparing the linear trend predictions against the original data.
d. What are the forecasts for each of the first six months in 2006 using this technique?
e. Calculate multiplicative seasonal indices for each month using the results of the linear trend model.
f. Use these seasonal indices to compute seasonal forecasts for the first six months in 2006.
g. Calculate additive seasonal indices for each month using the results of the linear trend model.
h. Use these seasonal indices to compute seasonal forecasts for the first six months in 2006.

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