Explanation of Regression Formula

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The regression formula is: Y = B₀ + B₁^X or: Dependent variable = constant + B₁^{independent variable} B₁= for each change of the independent variable (X), it will increase or decrease the dependent variable (Y) Rule of thumb: T > 2 significant slope T < 2 not significant slope Hypothesis: Ho: B₀ = 0 there is no relationship Ha: B₀ =/= there is a relationship R square (R²) = explains the % of dependent variable Y, is explained by the variability of the variable independent X I will recomend to use SPSS. It provides the factor that you need to resolve your necesity. You need historical information of your financial statement / accounting (sales, cost, and other information) I hope the information will help others. (...) Read more? Sign up for free

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