In Any Production Process in Which One or More Workers $( y )$

question 56

Essay

In any production process in which one or more workers are engaged in a variety of tasks, the total time spent in production varies as a function of the size of the workpool and the level of output of the various activities. In a large metropolitan department store, it is believed that the number of man-hours worked $( y )$ per day by the clerical staff depends on the number of pieces of mail processed per day $\left( x _ { 1 } \right)$ and the number of checks cashed per day $\left( x _ { 2 } \right)$ . Data collected for $n = 20$ working days were used to fit the model:
$$E ( y ) = \beta _ { 0 } + \beta _ { 1 } x _ { 1 } + \beta _ { 2 } x _ { 2 }$$
A partial printout for the analysis follows:


Test to determine if the model is adequate for predicting the number of man-hours worked. Use $\alpha = .025$ .