Suppose a firm has had the historical sales figures shown. What would be the forecast for next
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Suppose a firm has had the historical sales figures shown. What would be the forecast for next year's sales using regression to estimate a trend?
| Year | Sales (Y) | X | X*Y | X*X |
|---|---|---|---|---|
| 2008 | 2,000,000.00 | 1 | 2,000,000 | 1 |
| 2009 | 1,800,000.00 | 2 | 3,600,000 | 4 |
| 2010 | 2,200,000.00 | 3 | 6,600,000 | 9 |
| 2011 | 2,400,000.00 | 4 | 9,600,000 | 16 |
| 2012 | 2,300,000.00 | 5 | 11,500,000 | 25 |
| Sum | 10,700,000.00 | 15 | 33,300,000.00 | 55.00 |
| Average | 2,140,000.00 | 3 | 6,660,000.0000 | 11.00 |
Expert Answer:
viev Let x be the years denoted by 15 Let y be the sales Let the Regression line be y bo bx where b... View the full answer
Related Book For 
Finance Applications and Theory
ISBN: 978-0077861681
3rd edition
Authors: Marcia Cornett, Troy Adair
Posted Date:
