Question: A consulting firm estimates the following quarterly sales forecasting model: Qt=a+bt+cD The equation is estimated using quarterly data from 2010/2020 (t=1.... 43). The variable

A consulting firm estimates the following quarterly sales forecasting model: Qt=a+bt+cD The equation is

A consulting firm estimates the following quarterly sales forecasting model: Qt=a+bt+cD The equation is estimated using quarterly data from 2010/2020 (t=1.... 43). The variable D is a dummy variable for the second quarter where: D=1 in the second quarter, and O otherwise. The results of the estimation are: DEPENDENT VARIABLE: QT R-SQUARE OBSERVATIONS: 43 0.8644 VARIABLE INTERCEPT T D PARAMETER ESTIMATE 22.50 1.86 2.00 F-RATIO 127.5 STANDARD ERROR 9.32 0.55 0.71 P-VALUE ON F 0.0001 T-RATIO P-VALUE 2.41 0.0201 3.38 0.0016 2.82 0.0075 Given the above, at the 1 percent level of significance, is there a statistically significant trend in sales?

Step by Step Solution

★★★★★

3.50 Rating (153 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a Explain three different approaches to calculate the GDP Which approach should be used in the economy like Pakistan and Why 3 Marks ANS WER 1 Expend ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

PSY-520 Graduate Statistics Topic 3 - Benchmark - Correlation and Regression Project Directions: Use the following information to complete the questions below. Use the following data points that have...

Discuss what factors lead to inelastic demand and supply curves. Are they likely to be found together in the same situation?

Are some stocks less sensitive to market/systematic factors (recession, depression, war, etc.) than others? Provide some examples. Is there a measure that may allow us to evaluate this? How would we...

Patient progress in a health care facility for a certain diagnosis-related group have a few vital characteristics (systolic blood pressure, diastolic blood pressure, total cholesterol, weight)...

A consulting firm estimates the following quarterly sales forecasting model: Qt=a+bt+cD The equation is estimated using quarterly data from 2010/2020///(t=1,.,43). The varlable D is a dummy varlable...

(2) The income eraouer (3) The cross-price elasticity (ExR). 5. The following log-linear demand curve for a price-setting firm is estimated using the ordinary least-squares method: Q = apMcPR 270...

Please assist with answering the attached Finance questions. Please provide detailed instructions of how you got your answers. Please see attachment. Chapters 5-6 REVIEW Chapters 5-6 5-2 A typical...

Please complete the attached Basic Estimation Technique Finance questions Chapter 4: BASIC ESTIMATION TECHNIQUES Multiple Choice a. b. c. d. e. 4-1 For the equation Y = a + bX, the objective of...

Week 4 Homework Assignment This assignment is due by 6 p.m. eastern time on Sunday, September 17.When you turn it in, please: (1) Include your team number and assignment number in the filename(s)....

Consider a firm subject to quarter-to-quarter variation in its sales. Suppose that the following equation was estimated using quarterly data for the period 2011?2018 (the time variable goes from 1 to...

1 A forecaster used the following regression equation Qt = a + bt + c1D1 + c2D2 + c3D3 and quarterly sales data during 1999II to 2007IV (t = 1,...,35) for an appliance manufacturer to obtain the...

The accompanying table shows a portion of the number of cases of crime related to gambling (Gambling) and offenses against the family and children (Family Abuse) for the 50 states in the United...

A corporate bond has a face value of $l 000 with maturity date 20 years from today. The bond pays interest manually at a rate of 8% per year based on the face value. The interest rate paid on similar...

Required:Round all answers to two decimal places. Q . 4 . 1 Prepare the individual accounts accounts of F Face and Y You in the debtors of film it traders Show all your workings and remember to...

Recall that the general demand function for the demand curves in Figure 2.2 is Q d = 3,200 - 10P + 0.05M + 24P R Derive the demand function for D 2 in Figure 2.2. Recall that for D 2 income is...

Spacecraft instruments measure the radiation from an asteroid, and the data show that the power per unit wavelength peaks at 40m. Assuming the asteroid is a blackbody, find its surface temperature.

Suppose that U(c, c) = ln c + ln c,where > 0. Determine consumption in the current and future periods for the consumer, and interpret your solutions in terms of income and substitution effects.

Explain what moral hazard is and why and how deposit insurance and the too-big-to-fail doctrine induce a moral hazard problem.

Obtain data on average hourly earnings of production workers and the unemployment rate for your state or area over a recent 2-year period. Has unemployment increased or decreased? What has happened...

ue responder a: Decir que una distribucin muestral es hipottica significa que no se observa directamente, sino que se construye a partir de supuestos tericos. En estadstica, cuando se extraen...

PLEASE DO NOT PUT WORKING ON YOUR QUESTION AND NOT ANSWER MY QUESTION WITH 24 HOURS. ACT 5140 ? Accounting for Decision Makers HW #6 ? Chapter 4 Directions: Answer all 4 questions. Please submit your...

Directions: Answer all the questions. Question #1 Consider the following information, prepared based on a monthly capacity of 80,000 units: Category Cost per Unit Variable manufacturing costs $24...

Just wanted to see if someone can help me with some accounting homework. I will attach the Word file in case it is all jumbled up here. Thank you. Question #1 Consider the following information,...

Slocumb Industries Inc. is a new start up firm created by a private equity spin-off from Third Capital Ventures a private equity firm. The firm is known for its high tech communications/ artificial...

Please use anExcel file to support calculations: Question #1 Consider the following information, prepared based on a monthly capacity of 500,000 units: Category Cost per Unit Variable manufacturing...

Hello please complete the following assignment dealing with managerial accounting. If you have todo the calculation in excel and transfer to a word document that would great. Thanks ACT 5140 -...