817 WordsOct 16, 20144 Pages

I. Briefly explain the meaning of R-squared. A time series analysis of demand tends to result in a higher R-squared than one using cross-sectional data. Why do you think this is the case?
R-squared measures the goodness of fit of a regression equation. A time series analysis of demand tends to result in a higher R-squared than one using cross-sectional data because data is being gathered at multiple periods of time as opposed to one period of time when using cross-sectional data.
II. What is the identification problem? What effect will this problem have on the regression estimates of a demand function? Explain.
The identification problem occurs when there is an inability in the principle to identify the best estimate of values of*…show more content…*

Explain.
A recession would be harmful to the company because the demand for goods would fall faster than an increase in income.
c. Do you think that this firm should cut its price to increase its market share? Explain.
The firm should cut its price to increase the market share because the price elasticity is greater than 1.
d. What proportion of the variation in sales is explained by the independent variables in the equations? How confident are you about this answer? Explain.
Competitor’s Price (Px) = 3.23
Price (P) = 2.4
Income (Y) =2.08
Advertising (A) =2.22
Microwaves (m) = 1.19
When conducting a t-test the hypothesis can be rejected because all of the coefficients can be rejected at 5%.
VII. The sales data for the Lonestar Sports Apparel Company for the last 12 years are as follows.
2001 $400,000 2009 $700,000
2002 $440,000 2010 $756,000
2003 $480,000 2011 $824,000
2004 $518,000 2012 $906,000
2005 $554,000
2006 $587,000
2007 $617,000
2008 $654,000
a. What is the 2001-2012 compound growth rate?
906,000/400,000 = 2.265 (906,000/400,000) ^ (1/12) = 7.05%
b. Using the result obtained in part a, what is your 2013 projection?
906,000/ 0.705 = $1, 285, 106
c. If you were to make your own projection, that would you forecast?
I would forecast that sales would continue to steadily increase for the

Related

## Questions On Problems And Applications

1473 Words | 6 PagesChapter 1: Questions for Review: 1,5,8 Problems and Applications: 1,6,8,10 Chapter 2: Questions for Review: 1,3,6,7 Problems and Applications: 3,4,5,6 Chapter 3: Questions for Review: 2,5 Problems and Applications: 1,2,7 Chapter 4: Questions for Review: 1,3,6,9 Problems and Applications: 1,5,6,8,11 Chapter 1 Give three examples of important trade-offs that you face in your life. Some examples of trade-offs that I face in my life are rather I should go to sleep early or adding another

## Questions On Problems And Exercise

1198 Words | 5 PagesJennifer Measheaw Week 6 Problems and Exercise Chapter 10 1. Consider the reasons implementations fail. For at least three of these reasons, explain why this happens, if there is one (or more) type of implementation likely to minimize the occurrence, and if there is one (or more) type of installation more likely to induce failure for this reason System development projects are carefully analyzed, designed and implemented to achieve the desired objectives. One would think that by carefully designing

## Questions On Problems With Schooling

1642 Words | 7 PagesvThe Problems With Schooling Schools were made to teach students but after graduating from school student are left with information that is taught to them in a bland way. Because of the bland teaching styles from strict school standards the information is forgotten. Having students read a book and lecturing to students does not engage them it only makes for less participation and failure. It makes the students not want to go to school, but if a change in the school system was to happen students

## Questions on Ethical Problems

734 Words | 3 PagesDescribe an ethical problem you have confronted in a business situation The employer used to cut corners on nearly everything, almost as if it were a hobby. Sometimes the actions were harmless, but much of the time they were not. The employer would pick up food that fell on the floor and serve it to customers. A fellow employee noted that the employer did not ring up every transaction so that he could lie about his profits. He refused to give away the leftovers to the homeless society because, as

## Questions On The Problem Solving Essay

1240 Words | 5 PagesProblem Solving This week in class we have obtained copious amounts of new knowledge. In this paper, we will review the new topics I have learned about and how they have applied to my everyday life. The topics I have chosen to review are all about solving problems and how to use creative thought to solve those problems. Navy Problem Solving I was in the Navy for four years and I worked in the harbor patrol unit. We had a boat crew of three people, one coxswain which is the person who drives the

## Questions On The Problem Of Technology

1773 Words | 8 PagesContents: Problems to be turned in (Page 1) Essays (Page 3) Extra Credit (Page 8) 1. Problems to be turned in: Initial number of bits of information in chip=1,000,000 Bits in the human brain=10,000,000,000,000 Since,the number of bits double_we multiply by 2 Time taken=t Equation: 1,000,000*2^t=10,000,000,000,000 log_(2^t)=log(10,000,000) t log(2)=log_(10,000,000) t=23.25 years Moore 's prediction is based on the assumption that one cannot pass a certain limit after increasing exponentially

## Questions On Problem Solving Interventions Essay

965 Words | 4 PagesProblem-Solving Interventions BGP2 Task 1 Bridget Clark September 4, 2016 A Written Project Presented to the Faculty of the Teachers College of Western Governors University Table of Contents Chapter 1: Topic and Problem ………………………………………………………….. 4 Problem Statement 4 Purpose of the Study ………………………………………………………………… 5 Research Questions and Hypothesis 6 Limitations of the Study 6 Chapter 2: Literature Review 7 Reading Comprehension 7 Vocabulary Instruction 9 Graphic Organizers & Plans

## Questions On Solving The Statistical Problem

984 Words | 4 Pagesthe statistical problem above is to create a plan to find how many solutions there are for this problem. When starting this plan, the first step is to glean all the relevant clues given in the problem. The important clues described in the statistical problem begin with their only nine people. One person of the nine people has nine pieces of candy. A second person has no candy. Finally, a third person has four pieces of candy because four is the mean and the media of the problem. Gathering information

## Questions On Behavioral Problems Of Children Essay

1221 Words | 5 PagesBEHAVIOURAL PROBLEMS IN CHILDREN Session Time : 150 Minutes (2 ½ hours) Life Skills Empowered: Creative thinking Interpersonal skills Problem solving Critical thinking Enhancing self esteem Introduction Session Objectives: By the end of the session the teacher trainee will be able to Identify the behaviour problem Enlist the characteristic features of each of the different types of behavioural problems.. Devise the strategies to help the child with behaviour problems to adjust

## Questions And Complete The Following Problems

935 Words | 4 PagesAnswer the following questions and complete the following problems, as applicable. 1. Classify the following transactions as taking place in the primary or secondary markets: • IBM issues $200 million of new common stock. Primary Market • The New Company issues $50 million of common stock in an IPO. Primary Market • IBM sells $5 million of GM preferred stock from its marketable securities portfolio. Secondary market • The Magellan Fund buys $100 million of previously issued IBM bonds. Secondary Market

### Questions On Problems And Applications

1473 Words | 6 Pages### Questions On Problems And Exercise

1198 Words | 5 Pages### Questions On Problems With Schooling

1642 Words | 7 Pages### Questions on Ethical Problems

734 Words | 3 Pages### Questions On The Problem Solving Essay

1240 Words | 5 Pages### Questions On The Problem Of Technology

1773 Words | 8 Pages### Questions On Problem Solving Interventions Essay

965 Words | 4 Pages### Questions On Solving The Statistical Problem

984 Words | 4 Pages### Questions On Behavioral Problems Of Children Essay

1221 Words | 5 Pages### Questions And Complete The Following Problems

935 Words | 4 Pages