Question: I only need question number 3. It is not $99,991 Method of Least Squares DeMarco Company is developing a cost formula for its packing activity.
I only need question number 3. It is not $99,991
-
Method of Least Squares
DeMarco Company is developing a cost formula for its packing activity. Discussion with the workers in the Packing Department has revealed that packing costs are associated with the number of customer orders, the size of the orders, and the relative fragility of the items (more fragile items must be specially wrapped in bubble wrap and Styrofoam). Data for the past 20 months have been gathered:
Month Packing Cost Number of Orders Weight of Orders Number of Fragile Items 1 $45,000 11,200 24,640 1,120 2 58,000 14,000 31,220 1,400 3 39,000 10,500 18,000 1,000 4 35,600 9,000 19,350 850 5 90,000 21,000 46,200 4,000 6 126,000 31,000 64,000 5,500 7 90,600 20,000 60,000 1,800 8 63,000 15,000 40,000 750 9 79,000 16,000 59,000 1,500 10 155,000 40,000 88,000 2,500 11 450,000 113,500 249,700 11,800 12 640,000 150,000 390,000 14,000 13 41,000 10,000 23,000 900 14 54,000 14,000 29,400 890 15 58,000 15,000 30,000 1,500 16 58,090 14,500 31,900 1,340 17 80,110 18,000 50,000 3,000 18 123,000 30,000 75,000 2,000 19 108,000 27,000 63,450 1,900 20 76,000 18,000 41,400 1,430 Required:
1. Using the method of least squares, run a regression using the number of orders as the independent variable. Round "Adjusted R Square" answer to six decimals and "Standard Error" answer to three decimal places.
Regression Statistics Adjusted R Square Standard Error Observations 2. Run a multiple regression using three independent variables: the number of orders, the weight of orders, and the number of fragile items. Round "Adjusted R Square" answer to six decimals and "Standard Error" answer to three decimal places.
Which regression equation is better? The multiple regression equation is much better.Regression Statistics Adjusted R Square Standard Error Observations 3. Predict the total packing cost for 25,000 orders, weighing 40,000 pounds, with 4,000 fragile items. Round regression intercept to whole dollar and coefficients to two decimal places (nearest cent). Enter the final answer rounded to the nearest dollar.
Y = $
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
