Question: PROBLEM 3 ( Causal Forecasting model ) : 4 POINTS - SOLVE MANUALLY NINJA - Ninja, Inc. wants to forecast its quarterly sales. Ninja -
PROBLEM Causal Forecasting model: POINTS SOLVE MANUALLY
NINJANinja, Inc. wants to forecast its quarterly sales. NinjaNinja believes that its sales in a quarter are a
function of its total advertising ex penditures in the preceding two quarters combined. They have the
following data for the past two years:
a Construct a forecasting model that ex presses quarterly sales as a linear function of advertising
ex penditures in the previous two quarters com bined. points
b Use your forecasting model from part a to forecast sales in Quarter of Year point
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