The model yt = 8 + 2.1xt + 0.25yt-1 is estimated using regression analysis applied to time-series data. What is the effect of a 1-unit increase in x in period (t + 1 )?
What will be an ideal response?
An increase of 1-unit in the independent variable x in time period t leads to an expected increase in the dependent variable y of (2.1 )(0.25 ) or 0.525 in period (t + 1 ).
You might also like to view...
How does argument by definition differ from argument by analogy?
a. One uses the definition of a concept while the other compares different ideas to reach a conclusion. b. One uses definition of a concept while the other uses examples as the main support. c. One uses persuasion on a massive scale while the other uses deductive reasoning. d. One uses persuasion on a smaller scale while the other uses inductive reasoning.
The ________ provides for registration of a company's trademark, such as the Nike swoosh.
A. Clayton Act B. Patent Act C. Lanham Act D. Sherman Antitrust Act E. The FTC Act
FIFO assumes that inventory costs flow in the order incurred.
Answer the following statement true (T) or false (F)
Merati Corporation has two manufacturing departments--Forming and Assembly. The company used the following data at the beginning of the year to calculate predetermined overhead rates: FormingAssemblyTotalEstimated total machine-hours (MHs) 5,000 5,000 10,000Estimated total fixed manufacturing overhead cost$28,000$10,500$38,500Estimated variable manufacturing overhead cost per MH$1.80$2.60 During the most recent month, the company started and completed two jobs--Job B and Job L. There were no beginning inventories. Data concerning those two jobs follow: Job AJob LForming machine-hours 3,400 1,600Assembly machine-hours 2,000 3,000Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments. The
departmental predetermined overhead rate in the Forming Department is closest to: A. $7.40 B. $1.80 C. $6.05 D. $5.60