Pets-2-go is a pet transport company that provides interstate and overseas pet relocation services. The results...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Pets-2-go is a pet transport company that provides interstate and overseas pet relocation services. The results of a regression analysis to estimate "pet transportation costs are as follows: SUMMARY OUTPUT Regression Statistics Multiple R R Square Adjusted R Square Standard Error Observations ANOVA Regression Residual Total df 3 18 21 0.80787508 0.65266214 0.5947725 6174.38495 22 Intercept Kilometres travelled No. of pets transferred Delivery load (kg) SS MS F 1289425371 429808457.1 11.27424716 686214531.1 38123029.51 1975639902 Coefficients Standard Error 2658.444378 3.458140595 61.04448656 18.0864224 Significance F 0.00214927 1 Stat 4911.774911 0.541239048 1.115813236 3.099210946 56.44748876 1.081438482 6.554831475 2.759250557 P-value 0.5949788 0.0061900 0.2937784 0.0129148 Required: 4 marks (a) Interpret any 2 key specific values from the regression output above (b) Are all the cost drivers useful? Justify your answer. (c) Identify 2 alternative cost drivers (d) Explain one method on how the explanatory power of the regression can be improved? Pets-2-go is a pet transport company that provides interstate and overseas pet relocation services. The results of a regression analysis to estimate "pet transportation costs are as follows: SUMMARY OUTPUT Regression Statistics Multiple R R Square Adjusted R Square Standard Error Observations ANOVA Regression Residual Total df 3 18 21 0.80787508 0.65266214 0.5947725 6174.38495 22 Intercept Kilometres travelled No. of pets transferred Delivery load (kg) SS MS F 1289425371 429808457.1 11.27424716 686214531.1 38123029.51 1975639902 Coefficients Standard Error 2658.444378 3.458140595 61.04448656 18.0864224 Significance F 0.00214927 1 Stat 4911.774911 0.541239048 1.115813236 3.099210946 56.44748876 1.081438482 6.554831475 2.759250557 P-value 0.5949788 0.0061900 0.2937784 0.0129148 Required: 4 marks (a) Interpret any 2 key specific values from the regression output above (b) Are all the cost drivers useful? Justify your answer. (c) Identify 2 alternative cost drivers (d) Explain one method on how the explanatory power of the regression can be improved?
Expert Answer:
Answer rating: 100% (QA)
Model YBOB1X1B2X2B3X3B4X4 Pet transportation cost 265844345Ki... View the full answer
Related Book For
Fundamentals of Cost Accounting
ISBN: 978-0077398194
3rd Edition
Authors: William Lanen, Shannon Anderson, Michael Maher
Posted Date:
Students also viewed these general management questions
-
A legal firm wanted to determine the relationship between its monthly operating costs and a potential cost driver, professional hours. An excerpt from the output of a regression analysis performed...
-
As newly appointed "Energy Czar," your goal is to reduce the total demand for residential heating fuel in your state. You must choose one of three legislative proposals designed to accomplish this...
-
A manufacturer of fancy scented bar soaps is interested in the price elasticity shown by her popular lilac variety. She assembled data for each of the past twenty months concerning the number of bars...
-
i. Find a. b. ii. Use the trapezium rule with 2 intervals to estimate the value of giving your answer correct to 2 decimal places. +6 e2x + 6 e2 dx,
-
Kenny Harrison Corp., a capital goods manufacturing business that started on January 4, 2008, and operates on a calendar-year basis, uses the installment-sales method of profit recognition in...
-
An electrochemical cell is made by placing a zinc electrode in 1.00 L of 0.200 M ZnSO4 solution and a copper electrode in 1.00 L of 0.0100 M CuCl2 solution. a. What is the initial voltage of this...
-
Three students have been asked to determine if Graphs \(E\) and \(T\) are isomorphic and justify their answers. Javier believes that Graphs \(E\) and \(T\) are not isomorphic because Graph \(E\)...
-
Nguyen, Inc., is considering the purchase of a new computer system (ICX) for $130,000. The system will require an additional $30,000 for installation. If the new computer is purchased, it will...
-
Money markets deal in securities having maturities of ____; capital market securities have maturities ____. Select one: a. less than 18 months, greater than 18 monthsb. one year or less, greater than...
-
Eruptions of the Old Faithful geyser in Yellowstone National Park typically last from 1.5 to 5 minutes. Between eruptions are dormant periods, which typically last from 50 to 100 minutes. A dormant...
-
4. Write an equation that has x-intercepts 4, - 2 5
-
Find 10 partial sums of the series. (Round your answers to five decimal places.) 00 6 n = 1 6 n+1 n Sn 1 2 3 4 5 6 7 8 9 10
-
(i) Find derivative of y=eco (j) Find slope of tangent to curve y=x-x at x=2
-
What role does organizational justice play in influencing employee morale and organizational citizenship behavior, and how can organizations ensure equitable practices across all levels ?
-
A firm has the following probability distribution for annual losses due to vandalism: Loss Amount $0 $5,000 Probability 0.65 0.30 $10,000 The firm is considering three options: 0.05 1. Partial...
-
Which should the new offices be located to maximize the potential (the sum of rank scores)? 2. How much does it cost to open the new offices selected in the previous question? 3. Choose all existing...
-
Solve the equation 2x 15 x O O O A B C OD x 5 x 3 x 15 x 3 5
-
Two mutually exclusive investment alternatives are being considered. Alternative A requires an initial investment of $20,000 in a machine. Annual operating and maintenance costs are anticipated to be...
-
Renees Rings manufactures college rings. Two models are produced: The Spirit model with a budgeted price of $500 and a standard variable cost of $200. The Chancellor model has a budgeted price of...
-
The following transactions occurred in January at Tarnsdale Fabricators, a manufacturer of custom tools: 1. Purchased $17,000 of materials. 2. Issued $16,800 in direct materials to the production...
-
Van Goe produces paints. On January 1, it had no work-in-process inventory. It starts production of 300,000 gallons of paint in January and completes 240,000 gallons. The costs of the resources used...
-
Which of the following affects the present value of an investment? a. the interest rate b. the number of time periods (length of the investment) c. the type of investment (annuity versus single lump...
-
Order the capital budgeting process (Learning Objective 1) Place the following activities in sequence to illustrate the capital budgeting process: a. Budget capital investments b. Project...
-
Compute payback period-equal cash inflows (Learning Objective 2)} Refer to the Allegra Data Set. Calculate the CD-player project's payback period. If the CD project had a residual value of \(\$...
Study smarter with the SolutionInn App