Practical Operations Management
2nd Edition
ISBN: 9781939297136
Author: Simpson
Publisher: HERCHER PUBLISHING,INCORPORATED
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Chapter 4, Problem 12P
Summary Introduction
Interpretation:Identifying the smallest value or perhaps equal value of correlation coefficient or coefficient of determination after assuming that data of same set was used in their calculation.
Concept Introduction:Correlation refers to the measurement that identifies the relationship between two variables indicating correlated or not and its value lies in between -1 and +1. Negative value signifies their correlation as antithetically correlated and positive value as both variables moving towards same direction and no correlation in between when value is zero.
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Bo
Using data from 50 workers, a researcher estimates Wage = ẞe + B₁Education + B2Experience + B3Age + ε, where Wage is the
hourly wage rate and Education, Experience, and Age are the years of higher education, the years of experience, and the age of the
worker, respectively. A portion of the regression results is shown in the following table.
Intercept
Education
Experience
Age
Coefficients
Standard
Error
t Stat
p-Value
7.17
4.26
1.68
0.0991
1.81
0.35
5.17
0.0000
0.45
0.10
4.50
0.0000
-0.01
0.06
-0.17
0.8684
a-1. Interpret the point estimate for ẞ1.
As Education increases by 1 year, Wage is predicted to increase by 1.81/hour.
As Education increases by 1 year, Wage is predicted to increase by 0.45/hour.
As Education increases by 1 year, Wage is predicted to increase by 1.81/hour, holding Age and Experience constant.
As Education increases by 1 year, Wage is predicted to increase by 0.45/hour, holding Age and Experience constant.
a-2. Interpret the point estimate for $2.
As Experience…
year
quarterly sales
(000 units)
Q1
Q2
Q3
Q4
2016
1300
1500
1200
2000
2017
1600
1800
1100
2200
2018
1700
1900
1300
2300
2019
1800
2100
1400
2500
Using a simple regression analysis, determine the trend equation of the sales and use it to estimate the number of units of clothing sold throughout the fiscal year 2020. Assume that Q1 of 2016 is 1, Q2 of 2016 is 2, etc. Show all relevant cakculation detail
An operation analyst is forecasting this year's demand for one of his company's products based on the following historical data: (4 year ago Quantity sold was 10842), (3 year ago Quantity sold was 11881 ), (2 year ago Quantity sold was 16064 ) and the last year Quantity sold was 19273 . The previous trend line had predicted 12250 for three years ago, 13000 for two years ago and 13750 for last year. What was the mean absolute percent error (MAPE) for these forecasts?
a.
16.95
b.
2739
c.
0.17
d.
2985
Chapter 4 Solutions
Practical Operations Management
Ch. 4 - Prob. 1DQCh. 4 - Prob. 2DQCh. 4 - Prob. 3DQCh. 4 - Prob. 4DQCh. 4 - Prob. 1PCh. 4 - Prob. 2PCh. 4 - Prob. 3PCh. 4 - Prob. 4PCh. 4 - Prob. 5PCh. 4 - Prob. 6P
Ch. 4 - Prob. 7PCh. 4 - Prob. 8PCh. 4 - Prob. 9PCh. 4 - Prob. 10PCh. 4 - Prob. 11PCh. 4 - Prob. 12PCh. 4 - Prob. 13PCh. 4 - Prob. 14PCh. 4 - Prob. 15PCh. 4 - Prob. 16PCh. 4 - Prob. 17PCh. 4 - Prob. 18PCh. 4 - Prob. 19PCh. 4 - Prob. 20PCh. 4 - Prob. 21PCh. 4 - Prob. 22PCh. 4 - Prob. 23PCh. 4 - Prob. 24PCh. 4 - Prob. 25PCh. 4 - Prob. 26PCh. 4 - Prob. 27PCh. 4 - Prob. 28PCh. 4 - Prob. 29PCh. 4 - Prob. 30PCh. 4 - Prob. 31PCh. 4 - Prob. 32PCh. 4 - Prob. 1.1QCh. 4 - Prob. 1.2QCh. 4 - Prob. 1.3QCh. 4 - Prob. 1.4QCh. 4 - Prob. 2.1QCh. 4 - Prob. 2.2QCh. 4 - Prob. 2.3QCh. 4 - Prob. 2.4QCh. 4 - Prob. 3.1QCh. 4 - Prob. 3.2QCh. 4 - Prob. 3.3Q
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