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Chapter 12

Statistical techniques

Outcome

By the end of this session you should be able to:

 establish a linear function using regression analysis and interpret the results

 explain, calculate and interpret correlation coefficient and coefficient of
determination

 use linear regression coefficients to make forecasts of costs and revenues

 explain the advantages and disadvantages of linear regression analysis

 describe the product life cycles and explain its importance in forecasting
 explain the principles of time series analysis (cyclical, trend, seasonal variation
and random elements)

 calculate moving averages

 calculation of trend, including the use of regression coefficients

 use trend and season variation (additive and multiplicative) to make budget
forecasts

 explain the advantages and disadvantages of time series analysis

 explain the purpose of index numbers

 calculate simple index numbers for one or more variables

 adjust historical and forecast data for price movements.

and answer questions relating to these areas.

The underpinning detail for this Chapter in your Notes can be found in
Chapter 12 of your Study Text

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