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Time Series & Trend · Question 48 of 68

Question 48

EasyOriginal question

The trend line of a company's output is y=120+6xy = 120 + 6x, with x=0x = 0 at 2021 and xx in years. What trend value does it give for 2019?

Options for question 48

Show the answer and explanation
CorrectNot quiteAnswer A

Correct answer: A

Explanation

  1. 2019 is 2 years before 2021, so x=−2x = -2.

  2. y=120−12=108y = 120 - 12 = 108.

Worth noting

132 takes x=+2x = +2; years before the origin have negative xx.

Concept
Estimating from the trend line
Typical time
60 s
Your time
—
The rule this testsA straight-line trend by least squares
Practise this chapter →

Ten questions from Time Series & Trend, at your own pace.

Practise this chapter →

Ten questions from Time Series & Trend, at your own pace.