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The Partridge Corporation Used Regression Analysis to Predict the Annual

Question 21

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The Partridge Corporation used regression analysis to predict the annual cost of indirect materials. The results were as follows: Indirect M aterials Cost
Explained by Units Produced
 Constant $19,885 Standard error of Y estimate $7,560 R - squared 0.7832 No. of ob servations 22 Degrees of freedom 20X coefficient(s) 9.75 Stand ard error of coefficient (s)2.1876\begin{array}{cc}\text { Constant } & \$ 19,885 \\\text { Standard error of Y estimate } & \$ 7,560 \\\text { R - squared } & 0.7832 \\\text { No. of ob servations } & 22\\\text { Degrees of freedom } & 20 \\X \text { coefficient(s) } & 9.75 \\\text { Stand ard error of coefficient }(s) & 2.1876\end{array} The linear cost function is: A A ) Y= Y=
$7,560+$2.19X \$ 7,560+\$ 2.19 X
 B) Y=$7,560+$9.75X\text { B) } \mathrm{Y}=\$ 7,560+\$ 9.75 \mathrm{X}
 C) Y=$19,885+$9.75X\text { C) } \mathrm{Y}=\$ 19,885+\$ 9.75 \mathrm{X}
 D) None of theseanswers is correct \text { D) None of theseanswers is correct }
 The linear cost function is: A) Y=\text { The linear cost function is: A) } Y=
 A) $7,560+$2.19X\text { A) } \$ 7,560+\$ 2.19 \mathrm{X}
 B) Y=$7,560+$9.75X\text { B) } Y=\$ 7,560+\$ 9.75 \mathrm{X}
 C) Y=$19.885+$9.75X\text { C) } \mathrm{Y}=\$ 19.885+\$ 9.75 \mathrm{X}
 D) None of these answers is correct \text { D) None of these answers is correct }

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