Question

This assignment requires you to use Excel. In question 1, you will use the charting features. In

questions 2 and 3, use the regression tool from the analysis toolpack.

There is no template for this assignment. Make sure you explain your answers and provide the

regression output tables for questions 1 and 2.



Question 1

Shown below are rental and leasing revenue

figures for office machinery and equipment in the United

States over a seven-year period according to the U.S. Census Bureau. Use these data to run a linear

regression and then

forecast the rental and leasing revenue for the year 2012.

Year Rental and Leasing ($ millions)

2004 5,860

2005 6,632

2006 7,125

2007 6,000

2008 4,380

2009 3,326

2010 2,642

Answer 1

Regression equation is in this format:
predicted y = a + bx
...where a = intercept and b = slope.

Determine the equation, then substitute 2012 for x to find predicted y (forecasting the rental and leasing revenue).