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

question 20

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 a fitted value for the fourth quarter of 2009 using the model,which of the following sets of values should be used in the regression equation?

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Definitions:

Pro-Family Ideologies

A set of beliefs emphasizing traditional family structures and values, often promoting policies that support these ideals.

Conflict Theory

A sociological perspective that views social life as a competition, and focuses on the distribution of resources, power, and inequality.

Industrial Revolution

A period of significant technological, socioeconomic, and cultural change that started in the 18th century, marked by the transition from manual production methods to machine-based manufacturing.

Communist Revolution

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