Exhibit 11.10
The following questions use the data below.
Joe's Sporting Goods wants to forecast quarterly sales figures using a quadratic trend model. The store has collected 12 quarters of data and needs your help to analyze the data. The relevant regression output is in the following table.
-Refer to Exhibit 11.10. What Excel command can be used in cells F4:F14 in lieu of a formula based on the regression statistics?
A) =TREND($E$3:$E$14,$C$3:$C$14,C4)
B) =TREND($E$3:$E$14,$C$3:$D$14,C4:D4)
C) =TREND($E$3:$E$14,$C$3:$D$14,D4)
D) =TREND($E$3:$E$14,$B$3:$D$14,B4:D4)

Question

Exhibit 11.10
The following questions use the data below.
Joe's Sporting Goods wants to forecast quarterly sales figures using a quadratic trend model. The store has collected 12 quarters of data and needs your help to analyze the data. The relevant regression output is in the following table.  
-Refer to Exhibit 11.10. What Excel command can be used in cells F4:F14 in lieu of a formula based on the regression statistics?
A) =TREND($E$3:$E$14,$C$3:$C$14,C4) 
B) =TREND($E$3:$E$14,$C$3:$D$14,C4:D4) 
C) =TREND($E$3:$E$14,$C$3:$D$14,D4) 
D) =TREND($E$3:$E$14,$B$3:$D$14,B4:D4)

Quizplus · Accepted Answer

The TREND command in Excel can be used to forecast future values based on a given trendline. In this case, we want to use a quadratic trend model, which requires us to use the values of the independent variable (time) squared. 
Option A is incorrect because it only includes the values of time, not time squared. 
Option B is incorrect because it has two sets of data ranges for the X values, when we only need one. 
Option D is incorrect because it uses the wrong range of values for the X variable (column B instead of C and D). 
Therefore, the correct formula is to use the TREND function with the range of time values in C3:C14 and the range of time squared values in D3:D14, as shown in Option C.

Exhibit 11.10 The Following Questions Use the Data Below