document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=194890>Question 194890</A>: <I><SPAN STYLE=\"word-break: break-all;\"> The following time series data represent the quarterly amounts spent on advertising (in millions of dollars) by a large toy company (read across): \r<BR>\n" );
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document.write( "Quarter 1 Quarter 2 Quarter 3 Quarter 4 <BR>\n" );
document.write( "   14.8     14.8       12.6       13.0 <BR>\n" );
document.write( "   15.8     15.1       13.3       14.9 <BR>\n" );
document.write( "   13.3     16.3       16.6       15.7 <BR>\n" );
document.write( "   16.6     14.3       18.3       14.4 <BR>\n" );
document.write( "   17.9     16.2       16.6       16.9 <BR>\n" );
document.write( "   17.7     16.5       19.4   \r<BR>\n" );
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document.write( "This series of data begins in Quarter 1 of 1996 (i.e., time t=1 corresponds to the first quarter of 1996). Using regression analysis, a linear trend line of the form Tt=13.44 + 0.19t was fit to the data. Using this information, generate a forecast for the total yearly amount of money that will be spent on advertising in 2009.  </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #146200 by </B><A HREF=/tutors/aboutme.mpl?userid=stanbon><B>stanbon(75887)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=stanbon><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=146200\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> The following time series data represent the quarterly amounts spent on advertising (in millions of dollars) by a large toy company (read across): <BR>\n" );
document.write( "Quarter 1 Quarter 2 Quarter 3 Quarter 4 <BR>\n" );
document.write( "14.8 14.8 12.6 13.0 <BR>\n" );
document.write( "15.8 15.1 13.3 14.9 <BR>\n" );
document.write( "13.3 16.3 16.6 15.7 <BR>\n" );
document.write( "16.6 14.3 18.3 14.4 <BR>\n" );
document.write( "17.9 16.2 16.6 16.9 <BR>\n" );
document.write( "17.7 16.5 19.4 <BR>\n" );
document.write( "This series of data begins in Quarter 1 of 1996 (i.e., time t=1 corresponds to the first quarter of 1996). Using regression analysis, a linear trend line of the form Tt=13.44 + 0.19t was fit to the data. Using this information, generate a forecast for the total yearly amount of money that will be spent on advertising in 2009. <BR>\n" );
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document.write( "The \"t\" values for 1997 would be 5,6,7,9<BR>\n" );
document.write( "Because 1997 is 1 year after 1996<BR>\n" );
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document.write( "2009 is 13 years after 1996 so the \"t\" <BR>\n" );
document.write( "values would be 1+13*4 = 53, 54, 55,56<BR>\n" );
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document.write( "Then:<BR>\n" );
document.write( "T(53) = 13.44 + 0.19*53 = 23.51<BR>\n" );
document.write( "T(54) = 23.51 + 0.19 = 23.7<BR>\n" );
document.write( "T(55) = 23.7 + 0.19 = 23.89<BR>\n" );
document.write( "t(56) = 23.89 + 0.19 = 24.08<BR>\n" );
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document.write( "Add those up to get the money spent for the year.<BR>\n" );
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document.write( "Cheers,<BR>\n" );
document.write( "Stan H.<BR>\n" );
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