Consider the following time series: t sales 1 6 2 11 3 9 4 16 5 17 Use simple linear regression analysis with t as the predictor variable to find the parameters for the line that minimizes MSE for this time series. Enter the data into Excel and use Excel for your calculations. Enter the exact answers. a) y-intercept, b0 = -0.67 b) slope, b1 = 0.31 What is the MSE if this model is used to forecast sales for time periods 1-5? c) MSE = What is the forecast for time period t = 6?\

Check the explanation

Step-by-step explanation:

Period, X  Actual , Y

1                        6

2                       11

3                       9

4                       16

5                       17

Y= intercept + slope*x

Answer a and b:

INTERCEPT(known Y's,known X's)          Slope(known Y's,known X's)

                      3.7                                                           2.7

Simple linear regression equation is

Forecast, Y= 3.7+ 2.7*x

Period, X  Actual , Y  linear          Absolute           squared

                                   trend         deviation=         deviation=

                                Forecast,      |Forecast -        (absolute          

                            Y= 3.7+ 2.7*x      Actual|            deviation)^2

1                  6            6.40                  0.4                      0.2

2                 11            9.10                   1.9                       3.6

3                 9            11.80                  2.8                       7.8

4                16           14.50                  1.5                       2.3

5                17           17.20                  0.2                       0.0

6                              19.90  

                                                                                      2.78

                                                                                      MSE

Answer c: MSE= 2.78

Answer d: Forecast for x= 6= 19.90

last one.

step-by-step explanation:

last one.

generally speaking, the others follow some sort of pattern that correlates to either linear (looks like a straight line) or sinusoidal (looks like an s).

the last one is just a random cloud of points that doesn't correlate to any particular known order.