A chilled orange juice ware-housing operation in New York City was experiencing too many out-of-stock situations with

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A chilled orange juice ware-housing operation in New York City was experiencing too many out-of-stock situations with its 96-ounce containers. To better understand current and future demand for this product, the company examined the last 40 days of sales, which are shown in the table on the next page. One of the company's objectives is to model demand, y, as a function of sale day, x (where x = 1, 2, 3,..., 40).
a. Construct a scatter plot for these data.
b. Does it appear that a second-order model might better explain the variation in demand than a first-order model? Explain.
c. Fit a first-order model to these data.
d. Fit a second-order model to these data.
e. Compare the results in parts c and d and decide which model better explains variation in demand. Justify your choice.
A chilled orange juice ware-housing operation in New York City
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Statistics For Business And Economics

ISBN: 9780321826237

12th Edition

Authors: James T. McClave, P. George Benson, Terry T Sincich

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