Forecasting Revenue With Regression Analysis
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This guide on how to build a financial forecast for a company it may be useful to do a multiple regression analysis to determine how changes in certain assumptions or drivers of the business will impact revenue or expenses in the future.
Forecasting revenue with regression analysis. Since it is usually unrealistic to obtain information on an entire population a sample which is a subset of the population is usually selected. Regression analysis is a quantitative tool that is easy to use and can provide valuable information on financial analysis and forecasting. The aim is to create a model that can help us forecast the revenue of gopro for the next. Regression analysis forecasting is the most mathematically minded method is usually why people shy away from it.
Where there are two or more predictors multiple regression analysis is employed. For example there may be a very high correlation between the number of salespeople employed by a company. The sample may be either randomly selected for a researcher may chose the x values based on.
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