Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 19 Aug 2017 My Price 9.00

Computer Spreadsheet Program

Exercise 3-39 (Appendix 3A) Method of Least Squares Using Computer Spreadsheet Program

Susan Lewis, owner of a florist shop, is interested in predicting the cost of delivering floral arrangements. She collected monthly data on the number of deliveries and the total monthly delivery cost (depreciation on the van, wages of the driver, and fuel) for the past year.

 

 

 

 

Month

Number of Deliveries

Delivery Cost

January

100

$1,200

February

550

1,800

March

85

1,100

April

115

1,050

May

160

1,190

June

590

1,980

July

500

1,800

August

520

1,700

September

100

1,100

October

200

1,275

November

260

1,400

December

450

2,200

Required:

 

 

 

1.       Using a computer spreadsheet program such as Excel, run a regression on these data. Print out your results.

2.       Using your results from Requirement 1, write the cost formula for delivery cost. (Note: Round the fixed cost to the nearest dollar and the variable rate to the nearest cent.)

3.        CONCEPTUAL CONNECTION What is R2 based on your results? Do you think that the

number of direct labor hours is a good predictor of delivery cost?

4.        Using the cost formula in Requirement 2, what would predicted delivery cost be for a month with 300 deliveries?

Answers

Maurice Tutor
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Status NEW Posted 19 Aug 2017 01:08 PM My Price 9.00

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