2. You are asked to predict orders for the next two periods. You have information available for the overtime hours used for each quarter. a. Find and write out the model equation using the quarter number to predict orders. b. Discuss the model fit. c. Predict the orders for the next period. d. Would you recommend using this model? Explain. 4. Refer to the following plots. Describe the relationship in each. There are four items, each with four parts (except for \#4, which has two parts worth ten each). Each part is worth six points. (Eight points are free.) 1. The management of Wheeler Company has decided to develop cost formulas for its major overhead activities. Wheeler uses a highly automated manufacturing process, and power costs are a significant manufacturing cost. They have debated whether the power cost should be treated as fixed, variable, or both. Using the following data you are charged to settle this issue and determine the best cost formula for Wheeler. a. Find the estimated fixed cost associated with the machine hours. b. Find the estimated variable cost associated with the machine hours. c. Discuss your confidence in the use of these estimates. d. Would you recommend using this cost function? Explain. The data below are weekly figures from Herbert Hooley's Happy House (except for the quarterly error figures). They sell radios, TVs, and VCRs in their electronics department. He needs you to help him with a few things, which he will indicate to you. a. "Doug, I could surely use some help. I would like to find a useful profit formula for my department. Please let me know if it is a good model, and if there are any potential issues I should consider." Note that the numbers of radios, TVs, and VCRs represent the number held on hand for the week. Please find the best model for Herb. b. Discuss the model. c. Are there other issues to consider here? Explain. d. What is your recommendation regarding use of this model? Explain