Comment on the appropriateness of a linear trend. O The time series plot shows that a linear trend is most appropriate. O The time series plot shows that neither a linear nor a curvilinear trend is appropriate. O The time series plot shows that a curvilinear trend may be more appropriate. b) Using Minitab or Excel, develop quadratic trend equation that can be used to forecast revenue (in millions of dollars). (Round your numerical values to three decimal places.) T = c) Using the trend equation developed in part (b), forecast revenue (in millions of dollars) in year 11. (Round your answer to two decimal places.) million

Linear Algebra: A Modern Introduction
4th Edition
ISBN:9781285463247
Author:David Poole
Publisher:David Poole
Chapter4: Eigenvalues And Eigenvectors
Section4.6: Applications And The Perron-frobenius Theorem
Problem 25EQ
icon
Related questions
Question
20
18
16+
14
12
10
8
4
+
+
1
3
4
5
6.
7
8
10 11
Year
Comment on the appropriateness of a linear trend.
The time series plot shows that a linear trend is most appropriate.
The time series plot shows that neither a linear nor a curvilinear trend is appropriate.
The time series plot shows that a curvilinear trend may be more appropriate.
(b) Using Minitab or Excel, develop a quadratic trend equation that can be used to forecast revenue (in millions of dollars). (Round your numerical values to three decimal places.)
Tt =
(c) Using the trend equation developed in part (b), forecast revenue (in millions of dollars) in year 11. (Round your answer to two decimal places.)
$
million
Revenue ($ millions)
Transcribed Image Text:20 18 16+ 14 12 10 8 4 + + 1 3 4 5 6. 7 8 10 11 Year Comment on the appropriateness of a linear trend. The time series plot shows that a linear trend is most appropriate. The time series plot shows that neither a linear nor a curvilinear trend is appropriate. The time series plot shows that a curvilinear trend may be more appropriate. (b) Using Minitab or Excel, develop a quadratic trend equation that can be used to forecast revenue (in millions of dollars). (Round your numerical values to three decimal places.) Tt = (c) Using the trend equation developed in part (b), forecast revenue (in millions of dollars) in year 11. (Round your answer to two decimal places.) $ million Revenue ($ millions)
A certain company produces and sells frozen pizzas to public schools throughout the eastern United States. Using a very aggressive marketing strategy, they have been able to increase their annual
revenue by approximately $10 million over the past 10 years. But increased competition has slowed their growth rate in the past few years. The annual revenue, in millions of dollars, for the previous 10
years is shown.
Year
Revenue
1
8.53
10.74
3
12.98
4
14.11
16.31
17.21
7
18.37
8
18.55
9.
18.40
10
18.43
(a) Construct a time series plot.
20
20
20
18
18
18
16
16
16
14+
14
14
12
12
12
10
10
10
8
8
+
+
+
+
+
+
+
0 1
4
6 7 8 9 10 11
1
4
5
6 7
8
10 11
1
2
4
5
6 7
8 9
10 11
Year
Year
Year
20
18
Revenue ($ millions)
(su
Revenue ($ millions)
++
3.
Revenue ($ millions)
Transcribed Image Text:A certain company produces and sells frozen pizzas to public schools throughout the eastern United States. Using a very aggressive marketing strategy, they have been able to increase their annual revenue by approximately $10 million over the past 10 years. But increased competition has slowed their growth rate in the past few years. The annual revenue, in millions of dollars, for the previous 10 years is shown. Year Revenue 1 8.53 10.74 3 12.98 4 14.11 16.31 17.21 7 18.37 8 18.55 9. 18.40 10 18.43 (a) Construct a time series plot. 20 20 20 18 18 18 16 16 16 14+ 14 14 12 12 12 10 10 10 8 8 + + + + + + + 0 1 4 6 7 8 9 10 11 1 4 5 6 7 8 10 11 1 2 4 5 6 7 8 9 10 11 Year Year Year 20 18 Revenue ($ millions) (su Revenue ($ millions) ++ 3. Revenue ($ millions)
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 4 steps with 1 images

Blurred answer
Knowledge Booster
Time Series Analyses, Forecasting Methods, and Indices
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.
Recommended textbooks for you
Linear Algebra: A Modern Introduction
Linear Algebra: A Modern Introduction
Algebra
ISBN:
9781285463247
Author:
David Poole
Publisher:
Cengage Learning
Algebra: Structure And Method, Book 1
Algebra: Structure And Method, Book 1
Algebra
ISBN:
9780395977224
Author:
Richard G. Brown, Mary P. Dolciani, Robert H. Sorgenfrey, William L. Cole
Publisher:
McDougal Littell
Intermediate Algebra
Intermediate Algebra
Algebra
ISBN:
9780998625720
Author:
Lynn Marecek
Publisher:
OpenStax College