Instruction 12-5
the Managing Partner of an Advertising Agency Believes

question 146

Short Answer

Instruction 12-5
The managing partner of an advertising agency believes that his company's sales are related to the industry sales.He uses Microsoft Excel's Data Analysis tool to analyse the last four years of quarterly data with the following results:
$\begin{array}{lll} {\text { Regression Statistics }} & \\\text { Multiple R } & 0.802 & \\\text { R Square } & 0.643 & \\\text { Adjusted R Square } & 0.618 & \\\text { Standard Error SYX } & 0.9224 \\\text { Observations } & 16\end{array}$

ANOVA
$\begin{array}{lccccc} & \text { df } & \text { SS } & \text { MS } & \text { F } & \text { Sig.F } \\\text { Regression } & 1 & 21.497 & 21.497 & 25.27 & 0.000 \\\text { Error } & 14 & 11.912 & 0.851 & & \\\text { Total } & 15 & 33.409 & & &\\ \\Predictor&Coef&StdError&t Stat&P-value\\Intercept&3.962 & 1.440 & 2.75 & 0.016\\Industry&0.040451 & 0.008048 & 5.03 & 0.000\\ \\\text { Durbin-Watson Statistic } &&&1.59\end{array}$
-Referring to Instruction 12-5,the prediction for a quarter in which X = 120 is Y = ________.

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Definitions:

Price Recovery

The process by which prices return to higher levels after a period of decline or correction in a market.

Delivery Stop

A measure taken to halt the shipping or distribution process of goods, typically due to logistics or quality control issues.

Incidental Damages

are secondary costs or expenses that arise indirectly from a breach of contract, beyond the direct damages or losses incurred.

Goods

Tangible items that are manufactured or produced for sale to consumers.