How many batches per year should be produced

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Assignment - Introduction to Multiple Regressions

The Cardata.xlsx file provides the following information for 392 car models:

  • Cylinders
  • Displacement
  • Horsepower
  • Weight
  • Acceleration
  • Miles per gallon

Determine an equation that can be used to predict MPG.

Why do you think all of the independent variables are not significant?

Modeling nonlinearities and interactions -

The Priceads.xlsx file contains weekly unit sales of a product as well as the product price and advertising expenditures.

Explain how advertising and product price influence unit sales.

State whether the independent variable an non-linear relationship between the dependent and/or is there an interaction dependency.

P-value lower than .15 should be considered significant.

MOVING AVERAGES/RATIO TO MOVING AVERAGES -

Ratio to Moving Average

The amazon.xlsx file contains quarterly revenues of Walmart during years 1994-2009.

  • Create a smoothed trend estimate that you can use in your forecasts.
  • Use the ratio-to-moving-average method to forecast revenues for Quarters 4 in 2012 and quarters 1-4 in 2013.

EOQ/EOB -

An appliance store sells HDTVs. Annual demand is estimated at 1,000 units. The cost to carry an HDTV in inventory for one year is $500, and the cost to place an order for HDTVs is $400:

  • How many HDTVs should be ordered each time an order is placed?
  • How many orders per year should be placed?
  • What are the annual inventory and ordering costs?

Suppose that the Waterford Crystal company can produce up to 100 iced-tea pitchers per day. Further, suppose that the plant is open 250 days per year and that annual demand is for 20,000 pitchers.

The cost to hold a pitcher in inventory for a year might be $10, and the cost to set up the facility to produce iced tea pitchers might be $40:

  • What batch size would you recommend for iced-tea pitchers?
  • How many batches per year should be produced?
  • What are the annual setup and inventory costs for iced-tea pitchers?

Attachment:- Assignment Files.rar

Reference no: EM132251288

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