Harmon Foods

Harmon Foods subject area 1) Case Shipments = -80,315.68 + 946.56T + 3877.95S + .096C + .076D - .048CL - .02DL-2 Where T - Time in months since Dec 1983 S - Seasonal Index as disposed(p) by the case C - Consumer Pack expending for the period month ( jampacks*$.2 discount *24 packages/case) D - principal complete(a) profit margin for the topical month CL- Consumer Pack expenditure lagged from 1 month ago (packs*$.2 discount *24 packages/case) DL-2- dealer Allowance lagged from 2 months ago We assume that one consumer pack includes 24 coupons (a case) at a value of $.20/ea. Based on data in the case, we weighted the consumer packs and dealer all(prenominal)owance to be gibe to 90% of the current month and 5% from separately of the ii previous months. Also, we assumed that these allowances would immediately maturation unwashed revenue and whence decrease future gross gross gross revenue because co nsumers and dealers would stock up during poll periods. Therefore, we included values for lagged effects of previous consumer packs and dealer allowances. 2) Case Shipments = -80,315.68 + 996.56*49 + 3877.95*113 + .096*960,000 + .076*154,455 - .048*345,028.8 - .02*368,337.5 = 483,432 Standard sack = 34,733.12 given by Excel pledge Interval of 95% -> T Value of 97.5% for 42 degrees of liberty is 2.

018 2.018 * 34,733.12 * SQRT (1 + (1/48)) = 70,818 95% federal agency Interval = Estimate +/- Standard Error*T-Value*SQRT(1+(1/n)) The 95% trustfulness Interval is from 412,614 and 554,250 cases . 3) $1 invested into the Dealer Allowa! nce would increase current sales by .076 cases and decrease sales in dickens months by .02 cases, resulting in a gelt increase of .056 cases. take for granted that Harmon Foods is able to sell their cereal for $2/pack, the value of a case is $48 ($2 * 24 packs/case). Therefore, $1 invested in Dealer Allowance equates to $2.69 in added sales revenue (assuming all other variables are held constant). 1$ invested into Consumer Packs would increase current sales by .096...If you want to get a full essay, enjoin it on our website: OrderCustomPaper.com

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