Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Independence of observations
An important assumption for the simple linear regression model is the independence of errors. In many time series models, this assumption is violated because of the correlation of errors in successive observations. This is termed to as autocorrelation.
Autocorrelation occurs if a positive error is followed by another positive error and a negative error is followed by another negative error. If autocorrelation occurs then time should be considered as an important independent variable and therefore time varies analysis should be used.
We can use Durbin Watson ‘D’ statistics to determine whether observations are independent.D = ∑(ei – ei-1)2 ∑ei2Where:
ei is the error in time iei-I is the error in time i-IThe Durbin Watson statistics provides a measure of association between successive values of the error term. The computed statistics is compared against two tabulated values du and dl that depend on the desired confidence level of the test and the degrees of freedom of the data.
If the computed Durbin Watson “D” statistics is greater than Du, then we can conclude that there’s no positive correlation between error terms.
If dl ≤ D≤ du then the test is inconclusive and therefore we can neither accept nor reject the null hypothesis.
production budget , how to do ?
Recommend whether marginal or absorption costing should be use for internal monthly reporting
Explain TWO limitations of using accounting ratios to assess the performance of a firm and suggest how each limitation may be improved
Choose the relationship which best predicts the dependent variable After exploring a diversity of relationships, you should select the one that can best be employed in predicti
Significance points of Variance The following significant points must be kept in mind: Controllability: Controllability should also influence the decision whether t
Std error of the slope (Sb) Correlation coefficient measures the degree of association between two variables such as the cost and the activity level. The standard error of ‘
Illustration of Coefficient of Determination The production manager of XYZ Company is concerned about the apparent fluctuation in efficiency and wants to determine how labour c
State the price determination under the market condition The price determination under the following market condition is as follows: 1) Pure competition: in this situation
What have to Focus on Traditional standard costing In traditional cost systems focus is to meet standard cost measurement by avoiding unfavorable variances. Under kaizen coat
Is there a theory for financial ratios
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd