Reference no: EM132494623
Assignment: Use 12-point Times New Roman font. Do not exceed 4 pages in length. The bulk of your grade will be based on your ability to perform the requested analyses and provide an accurate interpretation. Copy and paste only your output for each regression, not the data or residuals. Submit either word (doc) or pdf. No other formats is accepted.
Demand can be estimated with experimental data, time-series data, or cross-section data. In this case, cross-section data appear in the Excel file. Soft drink consumption in cans per capita per year is related to six-pack price, income per capita, and mean temperature across the 48 contiguous states in the United States.
Questions
1. Given the data, please construct a multiple linear regression program by MS Excel.
2. Interpret each coefficient of independent variable in the soft drink demand estimated function in question 1.
3. Given your answer in question 1, please comment on whether the regression estimated function is a good fit or not. What is the interpretation of coefficient of determination (R-square) ? May we use the estimated function to predict for the future demand ? Explain why.
4. How many cans/capita/year on soft drink should be for a state in which 6-pack price = $1.95, Income/Capita = $23,500, and Mean Temp = 68 F?
5. Now omit the price and temperature from the regression equation. Should a marketing plan for soft drinks be designed that relocates most canned drink machines into low-income neighborhoods? Why or why not?
|
Discuss the stationarity of your time series data
: Project on Modelling Financial Data - Discuss the stationarity of your time series data, Transform the data into log-returns
|
|
What kind of macroeconomic policy should the country follow
: What kind of macroeconomic policy should this country follow? What is the per capita real GDP on Purchasing Power Parity basis? What is the trend in this.
|
|
What the adjusted cash balance should be
: What The adjusted cash balance should be? Clayborn Company deposits all cash receipts on the day they are received and makes all cash payments
|
|
Find the proceeds if the discount rate
: To finance a new electronic sign to put in front of a retail store, mustang auto signs a 6 month, simple discount note with maturity value of $4500.
|
|
Construct a multiple linear regression program
: Demand can be estimated with experimental data, time-series data, or cross-section data. In this case, cross-section data appear in the Excel file.
|
|
Calculate the required rate of return for abc inc
: Calculate the required rate of return for ABC Inc., assuming that (1) investors expect a 3.0% rate of inflation in the future, (2) the real risk-free rate is 1.
|
|
Find what will earnings after taxes be
: If long-term financing is perfectly matched (synchronized) with long-term asset needs, and the same is true of short-term financing
|
|
What was amount of net income earned by jerry butcher shop
: If Jerry made no investments in the business but withdrew $5,000 during the year, what was the amount of net income earned by Jerry's Butcher Shop?
|
|
What is bad boys inc cost of capital
: Bad Boys, Inc. is evaluating its cost of capital. Under consultation, Bad Boys, Inc. expects to issue new debt at par with a coupon rate of 8% and to issue new.
|