Discuss the below in detail:
Q: A Manufacturer is developing a facility plan to provide production capacity for its factory. the amount of capacity required in the future depends on the number of products demanded by its customers.
The data below reflect past sales of its products:
Use simple linear regression to forecast annual demand for the products for each of the next three (3) years, by using the tabular method to:
derive the values for the intercept and slope
derive the linear equation plot the linear regression line, and
develop a forecast for the firm's annual sales for each of the next three years
Repeat the forecast using excel software to:
plot the normal graph with the regression trend line using the raw data provided
indicate the linear regression equation on the graph
extrapolate the regression trend line to forecast the firm's sales for each of the next three years
