The quarterly sales of the TRK-50 mountain bike for the previous four years by a bicycle shop in Switzerland is presented in the following table. Year 1 2 3 Quarter 1 2 3 4 1 2 3 4 1 2 3 st 4 1 2 3 4 t 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Yt 10 31 43 16 11 33 45 17 13 34 48 19 15 37 51 21 (a) By using a software of your choice, plot the time series (b) What kind of trend appears to exist? (c) What type of seasonal variation appears to exist? (d) Is a transformation needed to obtain a series that displays constant variation? (e) Fit a proper model with trend and seasonal variations terms. (f) Do all the independent variables seem to be important? Justify your answer statistically. (g) Write out the definitions of the dummy variables Q2, Q3, and Q4 (h) Predict the bike sales in year 5. Find point estimation and 95% confidence and prediction interval. (i) Write the prediction equation for the model, and use it to calculate y17 and y18

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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using excel: 

 

**Table of Quarterly Sales of the TRK-50 Mountain Bike**

The table below presents the quarterly sales of the TRK-50 mountain bike over four years by a bicycle shop in Switzerland.

| Year | Quarter | \( t \) | \( y_t \) |
|------|---------|---------|---------|
| 1    | 1       | 1       | 10      |
| 1    | 2       | 2       | 31      |
| 1    | 3       | 3       | 43      |
| 1    | 4       | 4       | 16      |
| 2    | 1       | 5       | 11      |
| 2    | 2       | 6       | 33      |
| 2    | 3       | 7       | 45      |
| 2    | 4       | 8       | 17      |
| 3    | 1       | 9       | 13      |
| 3    | 2       | 10      | 34      |
| 3    | 3       | 11      | 48      |
| 3    | 4       | 12      | 19      |
| 4    | 1       | 13      | 15      |
| 4    | 2       | 14      | 37      |
| 4    | 3       | 15      | 51      |
| 4    | 4       | 16      | 21      |

### Questions:

(a) **Plot the Time Series:**
   - Use any statistical or graphing software to create a time series plot of \( y_t \) over \( t \).

(b) **Trend Analysis:**
   - Examine the time series plot to determine the type of trend present.

(c) **Seasonal Variation:**
   - Analyze the data to identify any seasonal patterns.

(d) **Transformation for Constant Variation:**
   - Consider and discuss if data transformation is necessary.

(e) **Fit a Model:**
   - Develop a model incorporating trend and seasonal variation terms.

(f) **Importance of Variables:**
   - Assess and provide statistical evidence for the significance of the independent variables.

(g) **Define Dummy Variables:**
   - Define dummy variables for quarters Q2, Q3, and
Transcribed Image Text:**Table of Quarterly Sales of the TRK-50 Mountain Bike** The table below presents the quarterly sales of the TRK-50 mountain bike over four years by a bicycle shop in Switzerland. | Year | Quarter | \( t \) | \( y_t \) | |------|---------|---------|---------| | 1 | 1 | 1 | 10 | | 1 | 2 | 2 | 31 | | 1 | 3 | 3 | 43 | | 1 | 4 | 4 | 16 | | 2 | 1 | 5 | 11 | | 2 | 2 | 6 | 33 | | 2 | 3 | 7 | 45 | | 2 | 4 | 8 | 17 | | 3 | 1 | 9 | 13 | | 3 | 2 | 10 | 34 | | 3 | 3 | 11 | 48 | | 3 | 4 | 12 | 19 | | 4 | 1 | 13 | 15 | | 4 | 2 | 14 | 37 | | 4 | 3 | 15 | 51 | | 4 | 4 | 16 | 21 | ### Questions: (a) **Plot the Time Series:** - Use any statistical or graphing software to create a time series plot of \( y_t \) over \( t \). (b) **Trend Analysis:** - Examine the time series plot to determine the type of trend present. (c) **Seasonal Variation:** - Analyze the data to identify any seasonal patterns. (d) **Transformation for Constant Variation:** - Consider and discuss if data transformation is necessary. (e) **Fit a Model:** - Develop a model incorporating trend and seasonal variation terms. (f) **Importance of Variables:** - Assess and provide statistical evidence for the significance of the independent variables. (g) **Define Dummy Variables:** - Define dummy variables for quarters Q2, Q3, and
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