Dry Goods Sales The data is for weekly sales in the dry goods department at a Wal*Mart...

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Basic Math

Dry Goods Sales

The data is for weekly sales in the dry goods department at aWal*Mart store in the Northeast.  Peak values, I.e.spikes, usually occur at holiday periods.  Week 1 is thefirst week of February 2002.  To show continuity, week 1of 2003 is represented as week 54 since week 53 represents the endof fiscal 2002 and start of the 2003 fiscal year. Dollar values areadjusted in order to disguise true sales figures, but trends in thedata are retained for analysis puposes.

WeekSales in $
2615200
2715600
2816400
2915600
3014200
3114400
3216400
3315200
3414400
3513800
3615000
3714100
3814400
3914000
4015600
4115000
4214400
4317800
4415000
4515200
4615800
4718600
4815400
4915500
5016800
5118700
5221400
5320900
5418800
5522400
5619400
5720000
5818100
5918000
6019600
6119000
6219200
6318000
6417600
6517200
6619800
6719600
6819600
6920000
7020800
7122800
7223000
7320800
7425000
7530600
7624000

77

21200

1.) Can you identify at least 6 holiday periods or specialevents that cause the spikes in the data?

a.) In each case give the week number, date, and what holiday orspecial event it represents

b.) Which holiday results in the maximum sales for thisdepartment and how much are the sales?

2.) Generate three linear models for this data. Each linearmodel should be generated from a pair of data points.

a.) For each linear model, find the equation of the line. Showyour work. Write the equation in slope intercept form.

b.) For each linear model discuss the meaning of the slope andy-intercept. Also provide an analysis as to why you like or dislikethat particular model

c.) Discuss the rationale behind the model that you believe bestpredicts future results.

3.) Predict and analyze sales for the next four weeks

a.) Using your most preferred linear model, predict sales forthe next four weeks and show calculations

b.) Based on your preferred linear model, compute the percentrate of increase (y2-y1)/y1 for the next four weeks

4.) If you were a manager of this department store, whatrecommendation would you make to the person in charge ofinventory?

Answer & Explanation Solved by verified expert
4.0 Ratings (423 Votes)
LinearModelTheregression equation is defined asNowthe regression analysis is done in excel by following stepsStep1 Write the data values in excel The screenshot is shownbelowStep2 DATA Data Analysis Regression OK The screenshotis shown belowStep3 Select Input Y Range y column Input X Range x column thenOK The screenshot is shown belowTheresult is obtained The screenshot is shown belowTheregression equation isQuadratic modelTheregression equation is defined asStep1 Write the data values in excel    See Answer
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