Operations managers often use work sampling to estimate how much time workers spend on each operation. Work sampling-which involves observing workers at random points in time-was applied to the staff of the catalog sales department of a clothing manufacturer.
The department applied regression to the following data collected for 40 consecutive working days:
TIME: Time spent (in hours) taking telephone orders during the day
ORDERS: Number of telephone orders received during the day
WEEK: weekday, 0 if Saturday or Sunday
Consider the complete 2nd-order model:
Explain how to conduct a test to determine if a quadratic relationship between total order time and the number of orders taken is necessary in the regression model above. Specify the null and alternative hypotheses that are to be tested.
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