Please explain how to work the formula for the following.
Quarter Warehouse and Transportation Expense
1/2009 $12,500
2 11,300
3 11,600
4 13,700
1/2010 12,900
2 12,100
3 11,700
4 14,000
1/2011 13,300
2 12,300
3 12,100
4 14,600
The results of a simple regression analysis using all 12 data points yielded an intercept of $11,854.55 and a coefficient for the independent variable of $126.22 (R-squared =0.19, t = 1.5, SE = 974).
Calculate the quarterly forecasts for 2012 using the high–low method.
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