SCENARIO 13-5 The Managing Partner of an Advertising Agency Believes That His

Multiple Choice

SCENARIO 13-5
The managing partner of an advertising agency believes that his company's sales are related to the
industry sales.He uses Microsoft Excel to analyze the last 4 years of quarterly data with
the following results: Durbin-Watson Statistic 1.59
-Referring to Scenario 13-5, the partner wants to test for autocorrelation using the Durbin-Watson
Statistic.Using a level of significance of 0.05, the decision he should make is:

A) there is evidence of autocorrelation.
B) the test is unable to make a definite conclusion.
C) there is no evidence of autocorrelation.
D) there is not enough information to perform the test.