A company has built a regression model to predict the number of labor hours (Yi) required to
Question:
A company has built a regression model to predict the number of labor hours (Yi) required to process a batch of parts (Xi). It has developed the following Excel spreadsheet of the results.
A. True or False? The average labor hours for a batch of parts increases by 2 hours for each additional part. A batch of 0 parts will require 5 hours which can be viewed as the setup time for the machine.
B. Predict the mean number of labor hours for a batch of 30 parts.
C. Provide a rough 95% confidence interval on the number of labor hours for a batch of 30 parts.
D. True or False? The regression model is significant at five percent level of significance because Significance F (0.005) is less than 0.05.
Managing Operations Across the Supply Chain
ISBN: 978-0078024030
2nd edition
Authors: Morgan Swink, Steven Melnyk, Bixby Cooper, Janet Hartley