STA304 Assignment 2 Solution Download in PDF | Trend Line, least Square method, de-seasonalized data

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Question 1:                                                                                                               Marks: 5     

Determine trend line by the least-squares method from the following data.

Years                  1928               1929              1930              1931              1932

Price in Rs.          125               114                    99                   80               80

-2                 -1                       0                      1                 2

 

Solution:

Year	Price in Rs (Y)	X	XY	X^2	Yt
1928	125	-2	-250	4	124.4
1929	114	-1	-114	1	112
1930	99	0	0	0	99.6
1931	80	1	80	1	87.2
1932	80	2	160	4	74.8
Sum	498		-124	10

Question 2:                                                                                                               Marks: 5      

From the following table deseasonalized the data also write down the formula.

Quarter	Amount of Money	Seasonal Index
I	73	81.2
II	91	100.3
III	111	128.8
IV	81	93.2

 

Solution:

 

Quarter	Amount of Money	Seasonal Index	De-seasonalized Data
	Y	X
I	73	81.2	89.90
II	91	100.3	90.73
III	111	128.8	86.18
IV	81	93.2	86.91

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