The file P11_47.xlsx contains the quarterly revenues (in millions of dollars) of a utility company for a seven-year period. The goal is to use these data to build a multiple regression model that can be used to forecast future revenues.
a. Which variables should be included in the regression? Explain your rationale for including or excluding variables.
b. Interpret the coefficients of your final equation.
c. Make a forecast for revenues during the next quarter, quarter 29. Also, estimate the probability that revenue in the next quarter will be at least $150 million.