Regression Analysis and its uses

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1. GROUP NAME Rise & shine

2. GROUP MEMBERS 1) FIDA HUSSAIN 2) M.SHAHZAD 3) ASAD ALI 4) SAMEEHA ADREES 5) NIMRA DAR 6) FAREEHA SALEEM

3. TOPIC REGRESSION ANALYSIS

4. INTRODUCTION The term regression was first used as a statistical concept in 1877 by sir Francis Galton.

5. Definition of regression The regression as defined as the dependence of one variable Upon another variable. e.g .1) YIELD OF CROP GROWN WITH DIFFERENT AMOUNT OF FERTILIZER

6. e.g = smoking cause cancer Here smoking is independent But cancer is dependent on smoking e.g.= when sales increase profits also increase Here sale is independent But profits is dependent on sale if sale increase or decrease that is direct affect on profit

7. SECOND DEFINATION The general process of predicting one variable from another by statistical means using previous data. Hence regression is a statistical tool with the help of which we are in a position to estimate the unknown values of one variable from known values of other variable Now we do it pratical By straight line method Y =a +b X

8. Scatter diagram . When two related variable are plotted on graph in the form of pioints or dots is called scatter diagram Picture of scatter diagram

9. Regression lines. Regression line is a line drawn on a graph paper showing the values of one variable associated with the corresponding mean values of the other variable Regression co-efficient Regression co-efficient is the rate of change in the expected value of the dependent variable for a given observed variable. There are two type of regression co-efficient of X on Y and regression co-efficient Y on X

10. Regression equation. Regression equation are algebraic expressions of the regression lines. There are two regression equation 1) regression equation x on y 2)regression equation y on x

11. Types of regression 1.Simple regression . I simple regression is only two variable one is dependent and other is dependent e .g advertisement expenditure and sale sale and profits price and demand We mostly use the formula for simple regression is straight line

12. 2. Multiple regression the statistical process by which several variables are used to predict another variable is called multiple regression e. g. What is the affect of gender diversity and instructor on CGPA Here gender diversity is primary in depend variable instructor is secondary in depend variable CGPA depend variable e.g. For example firm sales revenue may be postulated not only the firm advertisement expenditure . But also on its expenditure on quality control Here advertisement expenditure is primary in depend variable Quality control is secondary in depend variable Sale is depend variable

13. Uses of regression Regression analysis is used in agricultural sector to check the cause and affect relationship of one variable on the other variable. Regression analysis is used in industrial sector to check the affect of in depend variable on the depend variable Here technology is in depend but productivity depend If you want to known the affect of one variable on the other you use regression analysis Regression analysis is used in many other sector of economy like business etc

14. Importance of Regression Analysis Regression analysis is very important for prediction in every sector of economy and many other field of lif e