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 closest to the total cost if the firm uses 4,000 machine hours?
A) $2,413.21
B) $6,002.36
C) $3,589.15
D) $9,652,855.04

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 closest to the total cost if the firm uses 4,000 machine hours?
A) $2,413.21 
B) $6,002.36 
C) $3,589.15 
D) $9,652,855.04

Quizplus · Accepted Answer

B) y = $.897286837 (4,000) + $2,413.21
y = $6,002.36

Vanco Industries Wanted to Determine the Relationship Between Its Monthly