Using Multiple Regression Results to Construct and Apply a Cost Formula

number of purchase orders.

Multiple regression was run on the above data; the coefficients shown by the regression program are:

Intercept $14,630($rounded to the nearest dollar$)$

$x$ variable $1,6\mathrm{.}32($rounded to the nearest cent$)$

$x$ variable $2,16\mathrm{.}84($rounded to the nearest cent$)$

Required:

Construct the cost formula for the purchasing activity showing the fixed cost and the variable rate.

Purchase orders$)($$ Nonstandard orders$)$

$4^4$

What if McGarvey Manufacturing wants to estimate purchasing cost for the coming year and expects $6,100$ purchase orders and $600$ nonstandard orders?

What will estimated total purchasing cost be$?($Round your answer to the nearest dollar.$)$

$4$

What is the total fixed purchasing cost?

Why doesn't it equal the fixed cost calculated in Requirement $2$ above?