Busi. 410 HW 4 Answers

Busi. 410 HW 4 Answers - 4-2 M Revenue ForecastRegression...

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Unformatted text preview: 4-2 M Revenue ForecastRegression StatisticsMultiple R0.83753779R Square0.70146955Adjusted R Square0.68575743Standard Error1.87620648Observations21ANOVA dfSSMSFSignificance FRegression1157.157481157.1574844.64512.1767E-06Residual1966.88286433.5201508Total20224.040346 CoefficientsStandard Errort StatP-valueLower 95%Upper 95%Intercept8.374527245.902418071.41882990.17214-3.979375720.728430GM revenues ($B) q-40.858737630.128520856.68169892.18E-060.58974031.12773481.Regression equation: current revenue = 8.38 + .86*(past year revenue)2.RSquare = .703.MOE = 2*SE = 2*1.88 = 3.76Thus, you could expect actual revenues to be within $3.76 billion of a forecast 95% of the time.4.95% upper: 51.21 + 3.76 = 54.9795% lower: 51.21 3.76 = 47.4595% prediction interval for revenue in D-07: 47.45/51.21, 54.97/51.21 = .93 to 1.075.6.The skew of the residuals is .87. The plot of the residuals also exhibits relatively constant scatter. This fact, coupled with the skew of less than 1, leads to the conclusion that the...
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Busi. 410 HW 4 Answers - 4-2 M Revenue ForecastRegression...

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