A Retailing Outlet Has Been Keeping Daily Sales Records Over

question 96

Essay

A retailing outlet has been keeping daily sales records over the past four weeks, as shown below. $$\begin{array}{l}\quad\quad\quad\quad\quad\quad\quad\text { Week }\\\begin{array} { | l | c c c c | } \hline \text { Dox } & 1 & 2 & 3 & 4 \\\hline \text { Monday } & 20 & 25 & 22 & 27 \\\text { Tuesday } & 26 & 30 & 26 & 28 \\\text { Wednesday } & 28 & 29 & 29 & 26 \\\text { Thursday } & 34 & 32 & 34 & 31 \\\text { Friday } & 38 & 35 & 37 & 36 \\\hline\end{array}\end{array}$$ a. Use the regression technique to calculate the linear trend line.
b. Calculate the daily indexes based on the regression trend line in part (a).
c. What do the daily indexes tell us?

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Definitions:

Shareholders

Individuals or entities that own one or more shares of stock in a public or private corporation, making them partial owners of the company.

Corporate Tax Rate

The proportion of a company's earnings allocated to the state in the form of taxes.

Personal Income

The total amount of income earned by an individual from all sources, including employment, investments, and other forms of earnings.

Pre-tax Earnings

The amount of income earned before taxes have been deducted.