QUESTION 1 Test whether the mean sales in 3 gas stations are equal against the alternative that not all the means are equal (use a-5%). The following table provides summary statistics of three random samples taken from each gas station: Gas Station 1 X₁ =100 S=10 n₁ =2 Sales Gas Station 2 X2=150 S=5 n₂ = 6 Would your result change if a-10%? Why or why not? Gas Station 3 X3 =120 S=6 ₁₂ =2 Note: to receive full credit, please show all the steps and all your computations. QUESTION 2 The following is a sample of 4 measurements for X and Y: Y 3 7 4 6 7 4 10 3 Calculate the following: 1- The mean of X and mean of Y; 2- The variance of X and variance of Y; 3- The covariance between X and Y; that is, COV(X, Y). 4 Consider the following linear regression: Y=B, +B,X a. Use Ordinary Least Squares Method to estimate B, and B.; b. Find the prediction line; c. Compute the coefficient of determination; that is R2. Comment on your result. Note: to receive full credit, please show all the steps and all your computations. QUESTION 3 Consider the following simple linear regression, Q, B+BP. Test whether = is equal to zero against the alternative that is not equal to zero. Assume that the standard error (SE) is 1.8, the OLS estimate of ẞ, is -3 and the sample size is 16 (n=16). Use a=5%. Note: to receive full credit, please show all the steps and all your computations. QUESTION 4 In order to forecast the stock price of IBM, a financial analyst used two different forecasting methods: method I and method 2. The results are summarized in the following table: Method 1 Method 2 Year Actual Value Forecast Value Year Actual Value Forecast Value 2022 70 74 2022 70 75 2023 76 77 2023 76 78 2024 78 80 2024 78 82 1. For each method compute the mean square error (MSE). 2. Which forecasting method would you recommend? Why? Note: to receive full credit, please show all the steps and all your computations. QUESTION 5 The following table contains yearly data on the price of beef from 2022 to 2024: Year 2022 2023 2024 Beef Price (S) 115 140 177 Forecast the 2025 and 2026 beef prices using the simple linear trend method. Note: to receive full credit, please show all the steps and all your computations.

QUESTION 1 Test whether the mean sales in 3 gas stations are equal against the alternative that not all the means are equal (use a-5%). The following table provides summary statistics of three random samples taken from each gas station: Gas Station 1 X₁ =100 S=10 n₁ =2 Sales Gas Station 2 X2=150 S=5 n₂ = 6 Would your result change if a-10%? Why or why not? Gas Station 3 X3 =120 S=6 ₁₂ =2 Note: to receive full credit, please show all the steps and all your computations. QUESTION 2 The following is a sample of 4 measurements for X and Y: Y 3 7 4 6 7 4 10 3 Calculate the following: 1- The mean of X and mean of Y; 2- The variance of X and variance of Y; 3- The covariance between X and Y; that is, COV(X, Y). 4 Consider the following linear regression: Y=B, +B,X a. Use Ordinary Least Squares Method to estimate B, and B.; b. Find the prediction line; c. Compute the coefficient of determination; that is R2. Comment on your result. Note: to receive full credit, please show all the steps and all your computations. QUESTION 3 Consider the following simple linear regression, Q, B+BP. Test whether = is equal to zero against the alternative that is not equal to zero. Assume that the standard error (SE) is 1.8, the OLS estimate of ẞ, is -3 and the sample size is 16 (n=16). Use a=5%. Note: to receive full credit, please show all the steps and all your computations. QUESTION 4 In order to forecast the stock price of IBM, a financial analyst used two different forecasting methods: method I and method 2. The results are summarized in the following table: Method 1 Method 2 Year Actual Value Forecast Value Year Actual Value Forecast Value 2022 70 74 2022 70 75 2023 76 77 2023 76 78 2024 78 80 2024 78 82 1. For each method compute the mean square error (MSE). 2. Which forecasting method would you recommend? Why? Note: to receive full credit, please show all the steps and all your computations. QUESTION 5 The following table contains yearly data on the price of beef from 2022 to 2024: Year 2022 2023 2024 Beef Price (S) 115 140 177 Forecast the 2025 and 2026 beef prices using the simple linear trend method. Note: to receive full credit, please show all the steps and all your computations.

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018

18th Edition

ISBN:9780079039897

Author:Carter

Publisher:Carter

Chapter10: Statistics

Section10.6: Summarizing Categorical Data

Problem 10CYU

See similar textbooks