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Develop Regression Graph

A company is interested in knowing which the potential sales are next year if you use $ 20,000 in advertising expenses. The company uses the information from previous years to make its sales forecast. The data are: Year Sales Advertising $000 $ 000 1 15 2 2 25 3 3

Cobb Douglas Production

Estimate the cobb Douglas production function Q = ΑL^B1K^Β2, where Q= out put, L labour input K= capital input and A,B1,B2 are parameters to be estimated. test whether the coeficient of capital and labour are statistically significant. Determine the percentage of the variation in output that is explained by the r

Evaluating a Regression Analysis

Year 1986 1987 1988 1989 1990 Pz ($) 14 15 15 16 17 Year 1991 1992 1993 1994 1995 Pz ($) 18 17 18 19 20 Year 1996 1997 1998 1999 2000 Pz ($) 20 19 21 21 22 Year 2001 2002 2003 2004 2005 Pz ($) 23 23 24 25 25 Qx = 121.86 - 9.50PX + 0.04Y - 2.21 PZ (-5.12) (2.18) (-0.68) Qx = 121.86 - 9.50(-5.12) + 0.04(2.1


1. Consider you own a small restaurant business. You collected data on the average variable costs of your business for the past 12 months. You have been adjusted the cost data for inflation by deflating with an appropriate price index. Your output (Q) and the associated average variable cost (AVC) data are presented below:

Mathematical Economics

Franklin Electric is a holding company interested in the possible acquisition of "electricity retailers" that are expected to be spun off as the industry is deregulated. As the project point person you have been asked to do some preliminary demand analysis in order to better understand this particular market. Franklin hired a

Demand Analysis and Demand Estimation

MULTIPLE CHOICE 1. If P1 = $5, Q1 = 10,000, P2 = $6 and Q2 = 5,000, then a linear estimate of the demand curve is: a. P = $7  $0.002Q b. P = $5 + $10,000Q c. Q = 7  0.002P d. Q = 35,000  5,000P 2. If P1 = $5, Q1 = 10,000, P2 = $6 and Q2 = 5,000, then at point P2 an estimate of the point

Please answer all question

If the home currency begins to appreciate against other currencies, this should ___ the current account balance, other things equal (assume that substitutes are readily available in the countries, and that the prices charged by firms remain the same). A) increase B) have no impact on c) reduce D) all of these are equally pos

Cost accounting

In the way to check my understanding I think that I would need help in these question. 1. In general, more observations are required when cost and activity levels are unstable; i.e., the company's operations have changed significantly within the relevant range. True False 2. One advantage that regression techniques h

Demand Analysis

Wilpen Company, a price setting firm, produces nearly 80 ercent of all tennis balls purchased in the US. Wilpen estimates the US demand for its tennis balls by using the following linear specification: Q= a + bP + cM + dP (R) where Q is gthe number of cans of tennis balls sold quarterly, P is the wholesale price Wilpen ch

Interpretation of Regression Analysis Output

First Simple Regression Equation Cost1 = $13,123 - $0.30 Output Predictor Coefficient Standard Deviation t Ratio p Constant 13,123 2,635 4.98 0.000 Output -0.297 2.285 -0.13 0.899 SEE = $4,871; R² = 0.2%; R-bar² = 0.0%; F statistic = 0.02 (p = 0.899) Second Simple Regression Equation

Multiple Regression - Vanguard Corporation

The director of marketing at Vanguard Corporation believes that sales of the company's Bright Side laundry detergent (S) are related to Vanguard's own advertising expenditure (A), as well as the combined advertising expenditures of its three biggest rival detergents (R). The marketing director collects 36 weekly observations on

Sales Forecasting

AC556 Week 2 Problem Sales Forecasting NOTE: It is expected that this problem will be completed using an Excel spreadsheet using formulas. Please see the Excel Tutorial that is available under the course home tab. The Schonlind Company has gathered information regarding past sales: Year Sales 1999 $300,000 2000 225,

Dependent Variable

Scenario 2: Below is a multiple regression in which the dependent variable is market value of houses and the independent variables are the age of the house and square footage of the house. The regression was estimated for 42 houses. SUMMARY OUTPUT Regression Statistics Multiple R 0.745495 R Square 0.555762 Adj

Pricing methods

Describe each of the primary methods used for setting price, explaining its applications, strengths and weaknesses, show the formula and calculate an example for each method. 1) Pricing using demand estimation (MR=MC) Linear Approximation Method (How does one do this?) 2)Cost-Plus Pricing Breakeven Analysis 3)Mark-Up Pricin

Economics for Managers

Please help with these exercises, # 1 and # 2 Managerial Economics (see attachment). Economics for managers BOOK: ECO 550 STRAYER UNIVERSITY 2008 CUSTOM EDITION; ECONOMICS for MANAGERS: ISBN- 13: 978-0-558-03749-9.

Multiple Choice - Accounting questions

Attached are the questions. Many thanks 1. A is a fixed cost; B is a variable cost. During the current year the level of activity has decreased but is still within the relevant range. We would expect that: a. The cost per unit of A has remained unchanged b. The cost per unit of A has decreased. c. The cost per unit of

R^2 and adjusted R^2

If you have an R^2 of .39 and adjusted R^2 of .37 can you please tell me how they are related? What does the adjusted R^2 tell me about R^2?

Demand functions and Revenues

In February 2004, The Federal Communications commission (FCC) effectively deregulated the broadband industry in a close 3-2 vote that changed the rules of the 1996 Telecommunications Act. Among other things, the decision eliminates a rule that required the Baby Bells-Bell South, Owes Communication International, SBC Communicatio

Economics- Regression Created

Please take a look at this question to see if you can create the report required.

Calculate the volatilities

In this problem, I have the expected return of the market, its volatility and the risk-free rate of return for both borrowing and lending. There exists also two risky assets in the market (A and B) and I have the characteristic line regression which shows the relation between the returns for these two assets and the market portf

Log linear demand and regression analysis

If income declines by 2.85 percent, how much do I have to cut price in order to maintain existing customers? It starts with being given a regression analysis that has the following: coefficient of the intercept is .45, the coefficient of the natural logarithm of price is -2.14, and the natural logarithm of income is .90. Bas

Linear demand

Border Snacks Inc. produces and sells picante sauce, nacho chips, and queso dip. The company's marketing department estimated a linear demand function for Border's picante sauce: QF = a + bPF + cM + dPN + ePQ where QF is the number of jars of picante sauce sold per month, PF is the price of picante sauce, PN is t

Supply and Demand

1. Answer all the questions in the Memo Memo 1 To : Pricing Manager, Region 1 From : Regional Manager, Region 1 Cable Systems Re: Profits from STARZ We recently added the STARZ Network to our premium cable tier. Currently 852 of our basic service subscribers purchase this service at our current price of $10.50 per month

Production Theory

According to the chief engineer at the Zodiac Company, Q=AL a K b, where Q is the output rate, L is the rate of labor input, and K is the rate of capital input. Statistical analysis indicates that a=0.8 and b=0.3. The firm's owner claims the plant has increasing returns to scale. a. Is the owner correct? b. If B were 0.2 rat


The problem that I am having difficulty with is below: Wilpen Company, a price-setting firm, produces nearly 80 percent of all tennis balls purchased in the United States. Wilpen estimates the US demand for its tennis balls by using the following liner specification: Q=a + bP + cM + dPR Where Q is the number of cans of tenn