Methods for developing probability
Question:
Three methods for developing probability estimates (not decision models) were discussed, what are they and which of these is most common in practice? Justify your answer.
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Assume that most investors put together a well-diversified portfolio, and mangers manage in the interest of the well diversified shareholder.
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If the sales data from 2009-2013 had been 1024, 1499, 1589, 1823, and 1950 using linear regression - what would the projected sales figure for 2014 be? What assumption is made when you use Linear Regression for projecting next year's sales? Is thi
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