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SCENARIO 16-14 a Contractor Developed a Multiplicative Time-Series Model to Forecast the Forecast

question 20

Multiple Choice

SCENARIO 16-14
A contractor developed a multiplicative time-series model to forecast the number of contracts in future quarters,using quarterly data on number of contracts during the 3-year period from 2011 to 2013.The following is the resulting regression equation:
ln Y^ˆ= 3.37 + 0.117 X - 0.083 Q₁ + 1.28 Q₂ + 0.617 Q₃
where
Y^ˆis the estimated number of contracts in a quarter.
X is the coded quarterly value with X = 0 in the first quarter of 2011.
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.
Q₃ is a dummy variable equal to 1 in the third quarter of a year and 0 otherwise.
-Referring to Scenario 16-14,in testing the coefficient of X in the regression equation (0.117) the results were a t-statistic of 9.08 and an associated p-value of 0.0000.Which of the following is the best interpretation of this result?

Definitions:

Patch Clamp Technique

A method that allows researchers to study the ion channels of a tiny patch of membrane by tightly sealing a micropipette to the patch and measuring the flow of ions through the channels.

Ion Channel

Protein structures embedded in cell membranes that allow ions to pass in and out of the cell, crucial for various physiological processes.

Impulse Conduction

The process by which electrical signals are transmitted along a neuron, from the dendrites, through the axon, to the synapse.

Myelinated Axons

Axons covered with myelin sheaths which increase the speed at which nerve impulses can travel.