refer to the following:
The manufacturer of Beanie Baby dolls used quarterly price data for 2002I - 2010IV (t = 1, ..., 36) and the regression equation

to forecast doll prices in the year 2011. P t is the quarterly price of dolls, and D1 t , D2 t and D3 t are dummy variables for quarters I, II, and III, respectively.

-What is the estimated intercept of the trend line in the 4th quarter?
A) 22.8
B) 16
C) 18
D) 20
E)None of the above

Question

refer to the following:
The manufacturer of Beanie Baby dolls used quarterly price data for 2002I - 2010IV (t = 1, ..., 36) and the regression equation

to forecast doll prices in the year 2011. P t is the quarterly price of dolls, and D1 t , D2 t and D3 t are dummy variables for quarters I, II, and III, respectively.
 
-What is the estimated intercept of the trend line in the 4th quarter?
A) 22.8 
B) 16 
C) 18 
D) 20 
E)None of the above

Quizplus · Accepted Answer

Without specific data or a description of the trend line, it's impossible to accurately determine the estimated intercept of the trend line for any quarter.

Refer to the Following