Photon Dynamics has run two simple regressions and one multiple regression to estimate FOH costs: the simple regressions use # of units produced and the # of machine hours as the independent variables whereas the multiple regression uses both variables. The outputs of these 3 regressions are provided below:

Item	Simple regressiom (units)	Simple regression (machine hours)	Multiple regression (both variables)
Intercept	$3,000	$2,600	$3,200
R2	0.89	0.67	0.92
Coefficient/slope	$2.50	$1.82	$1.80 (units)
			$4.90 (machine hours)

Using the best cost estimation model determine the estimated FOH costs if Photon expects to produce 300 units and use 50 m/c hours?

Question 16 options:

	$3,750
	$3,985
	$2,691
	$4,760