Inuiln clearance, Business Management

    In the  figure  above the vertical deviations of the individual points  from the  line are shown  as the short vertical lines joining  the points  to the least  squares line. These deviations will be  denoted by the symbol the value of e varies from  one  point to another.  In some  cases it is  positive in others it is negative. If  the line  drawn happens to be the least squares line  then the  value of ∑e2 is the least possible. It  is because  of this  feature the methods is known  as least  squares methods.

Why  we insist  on minimizing  the sum  of squared  deviations is a  question that  needs explanation. It  we denote  the deviation from  the actual  value y to  estimated value (Y - Y )or e it is logical that we  want the  ∑ ( Y-Y) or ∑ e to be as small  as possible  however  mere examining ∑ ( Y-Y) or ∑ e  is inappropriate since  any e can be positive or negative and large positive  value  and large  negative  values  could cancel one another out. But  large values of e regardless of their  sign  indicate   a poor  prediction. Even  if we  ignore  the sings while working  out ∑e  the difficulties may continue to  be there . hence the standard procedure is to eliminate the effect of sings by squaring each observation. Squaring each  term  accomplishes two purposes viz.

2286_inulin.png

Posted Date: 4/1/2013 6:35:09 AM | Location : United States







Related Discussions:- Inuiln clearance, Assignment Help, Ask Question on Inuiln clearance, Get Answer, Expert's Help, Inuiln clearance Discussions

Write discussion on Inuiln clearance
Your posts are moderated
Related Questions
You work for an accounting firm. Your supervisor asks you to write a report on a new photocopier which the accounting firm can purchase. In addition to information about its hardwa

Question 1: Consider that you have been hired by a foreign company based overseas. In this context, a) explain the difficulties that you might encounter while communicatin

What are the objectives and applicability of 1948s Factories Act? Objectives and applicability of 1948s Factories Act: The Factories Act controls the conditions of work a

QUESTION a) Expand the term B2B and B2C. Give one example of each type of business that each represents. b) Compare traditional commerce with electronic commerce and explain

2. What, in your opinion, could be the reasons for different managerial thoughts in this case?

The aim of the assignments is to test your understanding of some of the key concepts in the material covered in the study modules, examine your ability to critically analyse a part

Characteristics of  JIT Management JIT  management   has high  degree of several Japanese cultural aspects in  its development. The  characteristics of JIT  management can  be

Ask question #Minimum 100 words accePhase 1: (5%)pted#

a) Mission statement refers to the avowal of an organisation's overall purpose, such as Nokia's "Connecting people..." It outlines the basis for setting the objectives of a busin

Question : Psychologist Bruce Tuckman first came up with the memorable phrase "forming, storming, norming and performing" back in 1965. He used it to describe the path to high-