Vanco Industries wanted to determine the relationship between its monthly operating costs and a potential cost driver, machine hours. The output of a regression analysis showed the following information (Note: only a portion of the regression analysis results is presented here.)
-At Vanco Industries, what is the variable cost per machine hour (rounded to the nearest cent)?
A) $143.98
B) $2,413.21
C) $0.90
D) $0.98

Question

Vanco Industries wanted to determine the relationship between its monthly operating costs and a potential cost driver, machine hours. The output of a regression analysis showed the following information (Note: only a portion of the regression analysis results is presented here.) 
-At Vanco Industries, what is the variable cost per machine hour (rounded to the nearest cent)?
A) $143.98 
B) $2,413.21 
C) $0.90 
D) $0.98

Quizplus · Accepted Answer

The variable cost per machine hour is the coefficient of the machine hours variable, which is 0.90 in this case. Therefore, the answer is C, $0.90 per machine hour.

Vanco Industries Wanted to Determine the Relationship Between Its Monthly