MGM600-0803B-02 Applied Managerial Decision-Making - Phase 4 Essay - 1

MGM600-0803B-02 Applied Managerial Decision-Making - Phase 4 Discussion Board - Essay ExampleThe equation for a regression analysis analyzes the relationship amidst one dependent variable and one or more sovereign variables (Curvefit 2008). In the regression equation, the dependent variable is modeled such that it is a function of the independent variables, constant, and an error term which is an estimation of the variations in the independent variable. A simple regression equation is one which tries to explain the dependent variable with a single explanatory for variable. For example, we know that the level of income of an individual can be explained by education, position, race, gender, and even age. When we would kindred to isolate the effects or relationship of income with race alone, this is called simple regression. However, when we take two or independent variables such as education, age, and race, then it is called multiple regressions (Curvefit 2008).Regression analysis h as been a very useful scratch in economists who are closely watching the relationship between variables. Regression analysis is used to prognosticate the GDP growth of the country by looking at the historic GDP data (Regression epitome 2008). It is also used to determine the relationship between foreign exchange rate and the money render in a given country. In business organizations, regression analysis is frequently utilized in order to make important decisions like pricing strategies (Regression Analysis 2008).WidgeCorps entry to the cold drink sector should further be assessed by looking at the attractiveness of the market and the potential that it has in serving the customers. The companys decision of coming up with a forecast of its monthly gross sales will be beneficial in decision of production levels.The monthly sales can be forecasted by using monthly sales as the dependent variable. In the regression equation, independent variables should take the amount investment in advertising, season, and time. The amount investment in advertising is important