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Exhibit 13 In Addition a Regression Analysis Indicates the Following Relationship Between

question 22

Multiple Choice

Exhibit 13.1
Use the Information Below for the Following Problem(S)
Assume that you are an analyst for the U.S. Autoparts Industry. Consider the following information that you propose to use to obtain an estimate of year 2002 EPS for the U.S. Autoparts Industry:
$\begin{array}{lrr}\begin{array}{l}\\\\\text{Personal consumption expenditures}\\\text{Personal consumption expenditures}\\ \text{growth}\\\text{Industry Sales per share}\\\text{Industry Operating profit margin}\\\text{Industry Depreciation/Fixed Assets}\\\text{Industry Fixed asset turnover}\\\text{Interest rate}\\\text{Industry Total asset turnover}\\\text{Industry Debt/Total assets}\\\text{Industry Tax rate}\\\end{array}\\begin{array}{r}\\\text{Year 2003}\\\hline\text{\$6,800 Billion}\\\\\\ \$ 525 \\\\\\\\\\\\\\\\end{array}\\begin{array}{r}Estimated\\\text{Year 2004}\\\hline\\ 1.5 \% \\\\\\ 15 \% \\8.25 \% \\3\\6 \% \\1.2 \\45 \% \\36\%\end{array}\\end{array}$

In addition a regression analysis indicates the following relationship between growth in industry sales per share and personal consumption expenditures (PCE) growth is
%D Sales per share = 0.02 + 1.5(%DPCE)
-Refer to Exhibit 13.1.Estimate the industry sales per share for the year 2004.

Definitions:

Fetal Heart Tones

The sounds or heart rate of a fetus as heard through devices like a Doppler during pregnancy check-ups, important for assessing fetal well-being.

Beats Per Minute

A unit of measure used to quantify the tempo of music, the frequency of heartbeats, or other periodic activity within a minute.

Uterine Souffle

A whooshing sound heard through auscultation over the pregnant uterus, caused by blood flowing through the uterine arteries.

Nägele Rule

A standard way of estimating the due date of a pregnancy by adding one year, subtracting three months, and adding seven days to the first day of a woman's last menstrual period.