Module 3 Assignment Part 2
Module 3 Assignment Part 2
1. Using the functional form that is 𝑌 = 𝛼% + 𝛼' 𝑋' + 𝑒* , determine the value of the
parameters 𝛼% , and 𝛼' using the table below with excel.
2. Using t test find out if the parameters are statistically significant at 0.05 level of
significance.
3. Find out the coefficient of determination (r2) and interpret the results.
4. Determine the coefficient of correlation (r) and once again interpret the result.
5. What is the difference between r2 and r.
6. Show the forecast from year 1 to 10.
7. Using the functional form of 𝑌 = 𝛼% + 𝛼' 𝑋' + 𝛼+ 𝑋+ + 𝑒* , determine the value of the
parameters 𝛼% , 𝛼' , and 𝛼+ using the table below with excel.
8. Using t and F tests find out if the individual parameters and all parameters are statistically
significant at 0.05 level of significance.
9. Find out the coefficient of determination (r2) and interpret the results.
10. Show the forecast from year 1 to 10.
Advertising Quality Control
YEAR(t) (Xt1) (Xt2) Sales(Yt)
1 10 3 44
2 9 4 40
3 11 3 42
4 12 3 46
5 11 4 48
6 12 5 52
7 13 6 54
8 13 7 58
9 14 7 56
10 15 8 60