The results of a quadratic model fit to time series data were $\hat{y}$= 7.5 - 0.25t + 3.5t2, where t = 1 for 1995. The forecasted value for 2002 is:
A)-2.0.
B)10.75.
C)28.
D)229.5.

Question

The results of a quadratic model fit to time series data were  $\hat{y}$= 7.5 - 0.25t + 3.5t2, where t = 1 for 1995. The forecasted value for 2002 is:
A)-2.0.
B)10.75.
C)28.
D)229.5.

Quizplus · Accepted Answer

For 2002, $t = 2002 - 1994 = 8$ (since $t = 1$ for 1995). Plugging $t = 8$ into the model $\hat{y} = 7.5 - 0.25t + 3.5t^2$, we get $\hat{y} = 7.5 - 0.25(8) + 3.5(8)^2 = 7.5 - 2 + 3.5(64) = 5.5 + 224 = 229.5$.

The Results of a Quadratic Model Fit to Time Series y^\hat{y}y^​

The Results of a Quadratic Model Fit to Time Series $\hat{y}$