Assignment

Instructions

Select a publicly traded company’s financial report. Develop a spreadsheet showing the sales and net profit value for year one through ten. Assume net profit changes based on sales values for two years after the 10th year. In this scenario, the linear relationship exists between sales (the independent variable) and net profit (the dependent variable).

Develop a trend and linear regression analysis for a public company of your choice. The historical data is the data from the 10-year period. The predicted data is year 11 and 12.

1. Map the past 10 years of sales and 1st year net profit data.

2. Predict future values for the next two years for the dependent variable (net profit).

You should create a MS Word document. In the document explain how the information for the spreadsheet was developed, why it was developed, and analyze the information on the spreadsheet.

Embed the Excel onto the document. That way people looking at your artifact in the folder will be likely to read the work. Separating the files into a document to explain and a separate spreadsheet is not the best way to impress others.

Resources:

What is predictive analytics data mining [Videofile]. Retrieved from https://www.youtube.com/watch?v=FOATC8ARHNs

Predictive modeling with linear regression – 1

https://software.tuncalik.com/

Trend analysis for business improvement

https://www.business.qld.gov.au/_designs/content/guide-printing2?parent=53485&SQ_DESIGN_NAME=print_layout

wikiHow to do trend analysis in Excel

http://www.wikihow.com/Do-Trend-Analysis-in-Excel

Note: depending on operating and application software, the windows and the functions in the Wiki illustration may need to be adjusted. Experiment with the Excel program and see if you can create the trend line for years 11 and 12.