To use regression analysis effectively as a method for sales forecasting:
A)Management is limited to the use of two market factors.
B)An executive does not have to have any knowledge of statistics.
C)A lengthy sales history must be available.
D)Management should forecast only in test markets.
E)Management should not expect mathematical exactness in the results.

Question

Quizplus · Accepted Answer

Regression analysis requires a sufficient amount of historical sales data to identify patterns and relationships between variables. Without a lengthy sales history, the method will not be effective.

To Use Regression Analysis Effectively as a Method for Sales