The Helicopter Division of Aerospatiale is studying assembly costs at its Marseilles plant. Past data indicates the following labor hours per helicopter:
Helicopter Number
Labor Hours
1
2,000
2
1,400
3
1,238
4
1,142
5
1,075
6
1,029
7
985
8
957
Using these data, apply simple linear regression, and examine the residual plot. What do you conclude? Construct a scatter chart and use the Excel Trendline feature to identify the best type of trendline that maximizes R2.