A Company Hires You to Develop a Linear Regression Forecasting

question 21

Multiple Choice

A company hires you to develop a linear regression forecasting model. Based on the company's historical sales information, you determine the intercept value of the model to be 1,200. You also find the slope value is minus 50. If, after developing the model, you are given a value of X = 10, which of the following is the resulting forecast value using this model?

• A) −1,800
• B) 700
• C) 1,230
• D) 1,150
• E) 12,000

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Individuals who are employed to perform specific duties or labor in exchange for compensation.

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The act of taking something without permission or legal right and with the intention to keep it permanently.

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Individuals or organizations that hire and pay people for their work.

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The illegal practice of not paying taxes by individuals or corporations through various means such as underreporting income or hiding money.