Question

Fit a trend line to the following data by the method of least squares. Predict the value for the year 2008.
Years 1995 1996 1997 1998 1999
Output 82 94 96 107 100
(tonnes)

• A. 149.7
• B. 150.2
• C. 151.8
• D. 148.2

Answer 1

The correct option is A 149.7

Tread Equation $Y_t$ =a + bx
For calculating the values of a and b, we may use the following equations -
$\sum Y=na+b\sum X$
$\sum Y=a\sum x+b\sum x^2$
Substituting the values given in the question you can get the trend values and by applying the value of X in the Tread Equation you will get the answer.