ITown is a large computer discount store that sells computers and ancillary equipment and software in the town where State University is located. It has collected historical data on computer sales and printer sales for the past 10 years as follows:

a. Develop a linear trend line forecast to forecast printer demand in year 11.
b. Develop a linear regression model relating printer sales to computer sales to forecast printer demand in year 11 if 1500 computers are sold.
c. Compare the forecasts developed in parts (a) and (b) and indicate which one appears to be thebest.

Transcribed Image Text:

Year Personal Computer Sales 1045 1610 860 1211 975 Printers Sold 381 312 1066 1310 1517 1246 296 415 535 592 607 473 10