Exhibit 18.3.The following table shows the annual revenues (in millions of dollars)of a pharmaceutical company over the period 1990-2011. Excel scatterplot shown above indicates that the annual revenues have an increasing trend.Therefore,linear,exponential,quadratic and cubic models were used to fit the trend,and the following relevant information became available after applying linear regression. Refer to Exhibit 18.3.What is the revenue forecast for 2012 found by the linear trend equation?
A)About 2 billion 149 million dollars
B)About 2 billion and 189 million dollars
C)About 2 billion and 334 million dollars
D)About 2 billion and 34 million dollars

Question

Exhibit 18.3.The following table shows the annual revenues (in millions of dollars)of a pharmaceutical company over the period 1990-2011.   Excel scatterplot shown above indicates that the annual revenues have an increasing trend.Therefore,linear,exponential,quadratic and cubic models were used to fit the trend,and the following relevant information became available after applying linear regression.  Refer to Exhibit 18.3.What is the revenue forecast for 2012 found by the linear trend equation?
A)About 2 billion 149 million dollars 
B)About 2 billion and 189 million dollars 
C)About 2 billion and 334 million dollars 
D)About 2 billion and 34 million dollars

Quizplus · Accepted Answer

The Answer of Exhibit 18.3.The following table shows the annual revenues (in millions of dollars)of a pharmaceutical company over the period 1990-2011.   Excel scatterplot shown above indicates that the annual revenues have an increasing trend.Therefore,linear,exponential,quadratic and cubic models were used to fit the trend,and the following relevant information became available after applying linear regression.  Refer to Exhibit 18.3.What is the revenue forecast for 2012 found by the linear trend equation?
A)About 2 billion 149 million dollars 
B)About 2 billion and 189 million dollars 
C)About 2 billion and 334 million dollars 
D)About 2 billion and 34 million dollars