Pets-2-go is a pet transport company that provides interstate and overseas pet relocation services. The results...

 

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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?

Answer rating: 100% (QA)

Model YBOB1X1B2X2B3X3B4X4 Pet transportation cost 265844345Ki... View the full answer