TABLE 16-12 A Local Store Developed a Multiplicative Time-Series Model to Forecast

question 24

Multiple Choice

TABLE 16-12
A local store developed a multiplicative time-series model to forecast its revenues in future quarters,using quarterly data on its revenues during the 5-year period from 2008 to 2012.The following is the resulting regression equation:
log₁₀
= 6.102 + 0.012 X - 0.129 Q₁ - 0.054 Q₂ + 0.098 Q₃
where is the estimated number of contracts in a quarter
X is the coded quarterly value with X = 0 in the first quarter of 2008
Q₁ is a dummy variable equal to 1 in the first quarter of a year and 0 otherwise
Q₂ is a dummy variable equal to 1 in the second quarter of a year and 0 otherwise is a dummy variable equal to 1 in the third quarter of a year and 0 otherwise
-Referring to Table 16-12,to obtain the fitted value for the first quarter of 2012 using the model,which of the following sets of values should be used in the regression equation?

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Definitions:

PCP

A dissociative drug, also known as phencyclidine, that can induce hallucinations, distortions in perceptions, and is used illicitly.

Barbiturates

A class of drugs previously used for anxiety, insomnia, and seizure control, but now less common due to the risk of dependency and overdose.

Knowledge-Management Systems

Specialized systems designed to capture, organize, and distribute knowledge within an organization to improve efficiency, creativity, and innovation.

Audience Perspective

The viewpoint or angle from which members of an audience understand, interpret, or perceive presented information.