The following table shows the annual revenues (in millions of dollars) of a pharmaceutical company over the period 1990-2011. The scatterplot indicates that the annual revenues have an increasing trend. Linear, exponential, quadratic, and cubic models were fit to the data starting with t = 1, and the following output was generated. Which of the following is a revenue forecast for 2012 found by the polynomial trend equation with the best fit?
A) About 2 billion and 149 million dollars
B) About 2 billion and 189 million dollars
C) About 2 billion and 337 million dollars
D) About 2 billion and 34 million dollars

Question

The following table shows the annual revenues (in millions of dollars) of a pharmaceutical company over the period 1990-2011.   The scatterplot indicates that the annual revenues have an increasing trend. Linear, exponential, quadratic, and cubic models were fit to the data starting with t = 1, and the following output was generated.  Which of the following is a revenue forecast for 2012 found by the polynomial trend equation with the best fit?
A) About 2 billion and 149 million dollars 
B) About 2 billion and 189 million dollars 
C) About 2 billion and 337 million dollars 
D) About 2 billion and 34 million dollars

Quizplus · Accepted Answer

The Answer of The following table shows the annual revenues (in millions of dollars) of a pharmaceutical company over the period 1990-2011.   The scatterplot indicates that the annual revenues have an increasing trend. Linear, exponential, quadratic, and cubic models were fit to the data starting with t = 1, and the following output was generated.  Which of the following is a revenue forecast for 2012 found by the polynomial trend equation with the best fit?
A) About 2 billion and 149 million dollars 
B) About 2 billion and 189 million dollars 
C) About 2 billion and 337 million dollars 
D) About 2 billion and 34 million dollars

The Following Table Shows the Annual Revenues (In Millions of Dollars)