the department of energy website contains information about monthly wholesale and retail prices for natural gas...

the department of energy website contains information about monthly wholesale and retail prices for natural gas in each state. go to www.eia.doe.gov/naturalgas/data.cfm and then click on the link monthly wholesale and retail prices. Under area, choose a state of interest to you, make sure the period Is monthly, and then under residential price click on view history. A window will open with a time plot covering approximately a 25-year period, along with a table of the monthly residential prices for each year.

(a) If you have access to statistical software, you should use the downland data (xls file) link to save the data as an excel (.xsl) file on your computer. Then enter the data into your software package and reproduce the time-series plot using the graphic capabilities of your software package. Be sure you use an appropriate title and axis labels. If you do not have access to the appropriate software, provide a rough sketch of the time plot that is given on the website.

(b) Is there a regular pattern of seasonal variation that repeats each year? Describe it. Are the prices increasing over time?

Expert Solution

Answer(a): Plot of time series is plotted above. The state of California was selected for analysis.

month	price.seasonality.index
January	99.97584
February	98.91215
March	96.11076
April	95.40866
May	100.8078
June	104.0972
July	104.8449
August	103.7426
September	101.9066
October	101.9417
November	95.14643
December	97.10529

Answer(b): Seasonality: from the seasonal index we can see that there is no any strong evidence of seasonality but there are slightly higher prices in the moth of June, July and August.

Trend: from the trend graph given below it can be seen that there is increasing trend in the price over the time.

orchestra answered 2 years ago

Look up today’s wholesale prices of natural gas in Texas (4.74 Dollars per thousand cubic feet)...

Look up today’s wholesale prices of natural gas in Texas (4.74 Dollars per thousand cubic feet) Calculate how much a kWh of electricity should cost, if it is being produced from (a) natural gas and (b) wind. You will need to worry about efficiency of combustion, energy content of natural gas, conversion of joules in kWh, etc. You will also need to figure out how to price wind, which of course blows for free.

1. In the market for natural gas, what will likely happen to current natural gas prices...

1. In the market for natural gas, what will likely happen to current natural gas prices and output if the producers expect future prices to decrease? Current prices will ______________ and current sales will ______________. a increase; increase b increase; decrease c decrease; decrease d decrease; increase e not change; not change 2. If the current quantity of output in a market is greater than the equilibrium quantity, what would be the most accurate description of that level of production?...

1. According to the U.S. Energy Information Administration, the average household expenditure for natural gas was...

1. According to the U.S. Energy Information Administration, the average household expenditure for natural gas was $679 in the winter of 2013. Suppose that a random sample of 50 customers shows a mean expenditure of $712 and assume that the population standard deviation is $80. Test whether the population mean expenditure is greater than $679 using level of significance α = 0.05. State the p-value and conclusion. a) p-value = 0.0035; reject H0: there is evidence at level of significance...

The tbl_employee contains information about the employee and its department, and it contains the following fields...

The tbl_employee contains information about the employee and its department, and it contains the following fields (it is possible to also include other missing fields): employee_id, employee_gender ,employee_salary, employee_annual_sallary, department_name, department_location, department head. Make use of the database normalization skills learned to normalize a database to the third normalization form. Organize the columns and tables to reduce data redundancy and arrange attributes based on the relationships. Provide a screen shot of the database design before the normalization. Create a heading...

The data below are the average monthly temperatures, in °F, and the monthly natural gas consumption,...

The data below are the average monthly temperatures, in °F, and the monthly natural gas consumption, in ccf, for a household in northwestern Pennsylvania. a.)Test the significance of the correlation coefficient using α = 0.05 and the claim ρ < 0. Identify the claim, state the null and alternative hypotheses, find the critical value, find the standardized test statistic, make a decision on the null hypothesis (you may use a P-Value instead of the standardized test statistic), write an interpretation...

At the time when natural gas and oil prices were at record levels, oil and natural...

At the time when natural gas and oil prices were at record levels, oil and natural gas producer Andarko Petroleum announced the acquisition between two competitors, Kerr-McGee Corp, and Western Gas Resources, for 16.4 billion and 4.7 billion in cash , respectively. The acquired assets complemented Adarko’s operations, providing the scale and focus necessary to cut overlapping expenses and concentrate resources in adjacent properties. What do you believe were the primary forces driving Andarko’s acquisition? How will greater scale and...

Carbon Emissions from Natural Gas: Worldwide combustion of methane, CH4 (natural gas), provides about 10.9 ×...

Carbon Emissions from Natural Gas: Worldwide combustion of methane, CH4 (natural gas), provides about 10.9 × 1016 kJ of energy per year. If methane has an energy content of 39 × 103 kJ/m3 (at STP: Standard Temperature and Pressure), what mass of CO2 is emitted into the atmosphere each year? Also express that emission rate as metric tons of carbon (not CO2) per year. A metric ton, which is 1,000 kg is usually written as tonne to distinguish it from...

200 MMscfd natural gas that contains 20vol% CO2 and no H2S is to be transported 60...

200 MMscfd natural gas that contains 20vol% CO2 and no H2S is to be transported 60 miles through pipelines to a natural gas liquefaction plant where gas sweetening and dehydration will take place. Suggest: Minimum specifications for the gas as it enters the pipeline. Suitable processing sequence for the field facility.

Consumer Energy Corp. is an electric utility that uses natural gas to produce electricity. If the...

Consumer Energy Corp. is an electric utility that uses natural gas to produce electricity. If the firm does not hedge its exposure to natural gas prices, it will have taxable income in the coming year of $80,000,000 if the market price of natural gas is “low” and -$20,000,000 if the market price of natural gas is “high.” The probability of each outcome is 50%. The firm has a corporate tax rate of 40% and cannot carry its losses forward. The...

Using the data shown in the table? here, LOADING... ?, that contains historical monthly prices and...

Using the data shown in the table? here, LOADING... ?, that contains historical monthly prices and dividends? (paid at the end of the? month) for Ford Motor Company stock? (Ticker: F) from August 1994 to August? 1998, compute? the: a. Average monthly return over this period. b. Monthly volatility? (or standard? deviation) over this period. c.? 95% confidence interval of the estimate of the average monthly return. Date Stock Price Dividend Return 1+Rt Aug-94 $29.250 $0.000 Sep-94 $27.750 $0.000 -5.13%...

Question