Cost Management: A Strategic Emphasis 7th Edition by Edward Blocher,David Stout ,Paul Juras,Gary Cokins

Exercise 43

Analysis of Regression Results (Continuation of 8-39) The following table shows additional regression results presented by the researchers in the study described in Exercise 8-39. There are two regressions. The right-hand column shows the results for all patients, including those treated with laparoscopic surgery. The left-hand column shows the results for the sample of patients who were treated without the laparoscopic surgery, and the related costs.

Required
1. Which of the two regressions has the better reliability and precision in estimating cost Why
2. Calculate the t -value for each of the independent variables, and interpret the values of each coefficient and the t -values for each independent variable.