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(By "interaction terms" I mean variables that carry the interaction information, included as predictors in the regression model.)Regression is the estimation of the conditional expectation of a random variable given another (possibly vector-valued) random variable.

In September 2007, Boeing was awarded a $49.2m contract to upgrade the communications systems of Saudi Arabian fleet of five E-3 AWACS aircraft with Link 16 secure digital datalink. which endorses the transmission of messages and imagery while rendering additional channels for digital voice. The first upgraded aircraft was rolled out in July 2008 and the remaining four were completed by December 2009. In December 2007, Saudi Arabia requested the sale of upgraded mission equipment for five aircraft including the Radar System Improvement Program (RSIP) kits. As of September 2011, France, UK, US and Nato have installed the RSIP kits into their fleets.

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As an example, suppose sales of a certain item increase to 110% in the first year and to 150% of that in the second year.

An approximate variance for a smooth function f(X, Y) of two random variables (X, Y) is obtained by a approximating f(X, Y) by the linear terms of its Taylor expansion in the neighborhood of about the sample means of X and Y.
For example, the variance of XY and X/Y based on a large sample size are approximated by: and respectively.

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