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1.

Calculate the regression coefficient and obtain the lines of regression for the
following data

Solution:
2. Sales of XYZ Ltd.

Sales ($000s
Revenu )
e
Year Quarter
s
1 2 3 4
1 240 224 20 24
4 0
2 244 236 22 26
0 2
3 260 254 23 28
0 6

A qualitative examination of this data shows that the general trend is one of rising
sales. Superimposed on this is an annual cycle with the highest sales in quarter 1
and the lowest in quarter 3 - this is likely to be a seasonal variation. Investigate the
figures quantitatively.

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