Question 1. Carolina Wood Products, Inc., a major manufacturer of household
furniture, is interested in predicting expenditures on furniture (FURN) for the entire
United States. You are going to help the company with this prediction. Download the
data by quarter for 2007 through 2016.
a. Estimate the bivariate linear trend model for the data where TIME=1 for 2007, Q1
through TIME=40 for 2016, Q4.
FURN = a + b(TIME)
b. Evaluate this model in one paragraph, with particular emphasis on its usefulness
in forecasting.
c. Prepare a time-trend forecast of furniture and household equipment expenditures
for 2017 based on the model in (b).
Period Time Trend Forecast
2017 Q1 41
2017 Q2 42
2017 Q3 43
2017 Q4 44
Question 2. Alexander Enterprises manufactures plastic parts for the automotive
industry. Download data on its sales (in thousands of dollars) for 2012, Q1 through
2016, Q4. You are to forecast sales for 2017, Q1 through 2017, Q4.
a. Begin by preparing a time seri
PLACE THIS ORDER OR A SIMILAR ORDER WITH NURSING TERM PAPERS TODAY AND GET AN AMAZING DISCOUNT
