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Calculate regression; forecast sales

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Tucson Machinery, Inc. manufactures numerically controlled machines, which sell for an average price of $0.50 million each. Sales for these NCMs for the past two years were as follows:

(see chart in attached file)
Quarter Quantity Quarter Quantity
I 12 I 16
II 18 II 24
III 26 III 28
IV 16 IV 18

a. Calculate regression equation
b. Forecast sale for the year 2000 and 2001

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Discussion and computations provided.

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ABC Furniture Company Linear Regression

See Attached

Linear Regression Forecasting and Decision Trees
Why is Forecasting important? How can we use Linear Regression as a forecasting method?
Read this introductory resource: Forecasting for Business and Using Linear Regression (attached)
Read Chapter 6, Regression Analysis pp. 159-166, in this resource:
Chase, C. W. (2013). Demand-driven forecasting: A structured approach to forecasting. John Wiley & Sons: Somerset, NJ. Retrieved from the Ebrary. Could not retrieve chapter 6 from Ebrary but found Chapter 6 on google (https://books.google.com/books?id=oe1CYQ5TxW0C&pg=PT62&source=gbs_selected_pages&cad=2#v=onepage&q&f=false)
The topics discussed here include:
1. Definition of regression
2. Correlation and regression
3. How to calculate the regression equation of X on Y.
OPTIONAL: Two videos on Khan Academy showing how to calculate regression coefficients.
Regression Line Example: http://www.khanacademy.org/video/regression-line-example?topic=statistics
Second Regression Example: http://www.khanacademy.org/video/second-regression-example?topic=statistics
PRACTICE: Download the Excel file Linear Regression Practice Examples (attached) which provides an examples and practice problems to learn how to do regression analysis in Excel.

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