The intent of this week exercise is to familiarize with EXCEL and to gain experience and practice in interpreting the output generated by most statistical packages (EXCEL) when linear regressions are run on a set of data.
The following data shows total sales volume for organic milk, price per gallon, and average household income.
|
Year
|
Qd (sales in million gallon)
|
Price per gallon ($)
|
Household income ($)
|
|
1999
|
1200
|
4
|
35,000
|
|
2000
|
1300
|
3.9
|
36000
|
|
2001
|
1320
|
4
|
37000
|
|
2002
|
1340
|
3
|
38000
|
|
2003
|
1310
|
3
|
34000
|
|
2004
|
1400
|
2.6
|
40000
|
|
2005
|
1390
|
2.5
|
40000
|
|
2006
|
1420
|
2
|
42000
|
|
2007
|
1410
|
2
|
40000
|
|
2008
|
1430
|
1.8
|
48000
|
Use Microsoft Excel to run a regression analysis for the following data. In Excel, first you need to type above data into your Excel spreadsheet. Then go to "tools", to "Data Analysis", to "Regression." Input sales data into"Input Y range" and price and income data into "Input X range." Mark "output range" and specify a worksheet location you want to place the output.